The text of the bill below is as of Dec 22, 1981 (Passed Congress).
You are reading a bill enacted 15,139 days ago. In the intervening time subsequent legislation may have amended or repealed the provisions below.
Summary of this bill
Source: Wikipedia
The Agriculture and Food Act of 1981 (Pub.L. 97–98, also known as the 1981 U.S. Farm Bill) was the 4-year omnibus farm bill that continued and modified commodity programs through 1985. It set specific target prices for 4 years, eliminated rice allotments and marketing quotas, lowered dairy supports, and made other changes affecting a wide range of USDA activities. The next year this farm bill was amended to freeze the dairy price support level and mandate loan rates and acreage reserve provisions for the 1983 crops (Omnibus Budget Reconciliation Act of 1982, Pub.L. 97–253). Again in 1984, amendments were adopted to freeze target prices, authorize paid land diversion for …
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1213
Public Law 97-98
97th Congress
An Act
To provide price and income protection for farmers, assure consumers an abundance Dec. 22,1981
of food and fiber at reasonable prices, continue food assistance to low-income [S. 884]
households, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in (Congress assembled, That this Act, with Agriculture and
the following table of contents, may be cited as the "Agriculture and ^ ^^^^of ^^?i
Food Actof 1981". ^ ^^ ^^^^ "°*^
TABLE OF CONTENTS
TITLE I—DAIRY
Sec. 101. Federal milk marketing orders.
Sec. 102. L^al status of producer handlers.
Sec. 103. MUk price support
Sec. 104. Transfer of daky products to veterans hospitals and the military.
Sec. 105. Dairy indemnity program.
Sec. 106. Reduction of dcdry product inventories.
Sec. 107. Dairy program operation report.
TITLE n—WOOL AND MOHAIR
Sec. 201. Extension of support program; support price.
TITLE m—WHEAT
Sec. 301. Loan rates, target prices, disaster payments, wheat acreage reduction and
set-aside program, and Ismd diversion for the 1982 through 1985 crops of
wheat.
Sec. 302. Nonapplicability of certiHcate requirements.
Sec. 303. Suspension of marketing quotas and producer certificate provisions.
Sec. 304. Suspension of quota provisions.
Sec. 305. Nonapplicability of section 107 of the Agricultural Act of 1949 to the 1982
through 1985 crops of wheat.
TITLE IV—FEED GRAINS
Sec. 401. Loan rates, target prices, disaster pajrments, feed grain acreage reduction
and set-aside program, and land diversion for the 1982 through 1985
crops of feed grains.
Sec. 402. Nonapplicability of section 105 of the Agricultural Act of 1949 to the 1982
through 1985 crops of feed grains.
TITLE V—COTTON
Sec. 501. Suspension of base acreage allotments, marketing quotas and related pro-
visions.
Sec. 502. Loan rates and target prices, disaster payments, cotton acreage reduction
pn^am, and land diversion for the 1982 through 1985 crops of upland
cotton.
Sec. 503. Commodity Credit Corporation sales price restrictions.
Sec. 504. Miscellaneous cotton provisions.
Sec. 505. Skiprow practices.
Sec. 506. Preliminary allotments for 1986 crop of upland cotton.
Sec. 507. Upland cotton loan difTerentials.
Sec. 508. Extra long staple cotton price support.
95 STAT. 1214 PUBLIC LAW 97-98—DEC. 22, 1981
TITLE VI—RICE
Sec. 601. Repeal of provisions relating to national acreage allotments, allocations,
apportionment, marketing quotas, and penalties.
Sec. 602. Loan rates, target prices, disaster payments, rice acreage reduction pro-
gram, and land diversion for the 1982 through 1985 crops of rice.
Sec. 603. Report on trading of rice futures.
TITLE Vn-PEANUTS
Sec. 701. Suspension of marketing quotas and acreage allotments.
Sec. 702. National poundage quota and farm poundage quota.
Sec. 703. Sale, lease, or transfer of farm poundage quota.
Sec. 704. Marketing penalties; disposition of additional peanuts.
Sec. 705. Price support program.
Sec. 706. Reports and records.
Sec. 707. Suspension of certain price support provisions.
TITLE Vin—SOYBEANS
Sec. 801. Soybean price support.
TITLE IX—SUGAR
Sec. 901. Sugar price support.
TITLE X—GRAIN RESERVES AND NATIONAL AGRICULTURAL COST OF
PRODUCTION STANDARDS REVIEW BOARD
Subtitle A—Grain Reserves
Sec. 1001. Producer reserve program for wheat and feed grains.
/ Sec. 1002. Forgiveness of violations.
\ Sec. 1003. Disaster reserve.
Sec. 1004. Conforming amendment.
Subti,tle B—National Agricultured Cost of Production Standards Review Board
Sec. 1005. Establishment of Board.
Sec. 1006. Membership of Board.
Sec. 1007. Functions of Board.
Sec. 1008. Board meetings.
Sec. 1009. Recommendations to Secretary.
Sec. 1010. Reports.
Sec. 1011. Support services.
Sec. 1012. Compensation.
Sec. 1013. Authorization for appropriations.
Sec. 1014. Termination.
TITLE XI—MISCELLANEOUS
Subtitle A—Miscellaneous Commodity Provisions
Sec. 1101. Pajmient limitations for wheat, feed grains, upland cotton, and rice.
Sec. 1102. Finality of determinations.
Sec. 1103. Commodity Credit Corporation sales price restrictions for wheat £md feed
grains.
Sec. 1104. Application of terms in the Agricultural Act of 1949.
Sec. 1105. Supplemental set-£iside and acreage limitation authority.
Sec. 1106. Normally planted acreage and teii^et prices.
Sec. 1107. Normal supply.
Sec. 1108. Nonquota tobacco subject to quota.
Sec. 1109. Tobacco program cost.
Subtitle B—Greneral Provisions
Sec. 1110. Special grazing and hay prc^am.
Sec. 1111. Emerg^ency feed program.
Sec. 1112. Farm income protection insurance program study.
Sec. 1113. State agency authority for grain inspections at export port locations.
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1215
See. 1114. Distribution of surplus commodities; special nutiition projects.
Sec. 1116. Perishable agricultural commodities.
Sec. 1116. Departinent of Agriculture advisory committees.
Sec. 1117. C!ost of production study.
Sec. 1118. Unlawful to ofTer for sale or advertise protected seed when not certified
by a State agency.
Sec. 1119. Protection agamst the introduction and dissemination of plant pests.
Sec. 1120. Authority to release bee germ plasm.
Sec. 1121. User fees for reports and publications.
Sec. 1122. Inspection and other standards for imported meat products.
TITLE Xn-AGMCULTURAL EXPORTS AND PUBUC LAW 480
Subtitle A—General Export Provisions
Sec. 1201. Agricultural Export Credit Revolving Fund.
Sec. 1202. Congressional consultation on bilateral commodity supply agreements.
Sec. 1203. Special standby export subsidy program.
Sec. 1204. Agricultural embargo protection.
Sec. 1205. Development of plans to alleviate adverse impact of export embargoes on
agricultural commodities.
Sec. 1206. Consultation on grain marketing.
Sec. 1207. Expansion of international markets for United States agricultural com-
modities and products thereof.
Sec. 1208. Increased usage of protein byproducts derived from alcohol fUel produc-
tion.
Sec. 1209. Exemption for protein byproducts.
Subtitle B—Public Law 480
Sec. 1210. Self-help measures to increase agricultural production; verification of
self-help provisions.
Sec. 1211. Requirement for invitations for bids on titie I purchases.
Sec. 1212. Title n authorization ceiling.
Sec. 1213. Overseas market development.
Sec. 1214. Valuation of commodities.
Sec. 1215. Annual report.
Sec. 1216. Extension of prc^am.
TITLE Xm-FOOD STAMP AND COMMODITY DISTRIBUTION AMENDMENTS
OF 1981
Sec. 1301. Short title.
Sec. 1302. Household definition.
Sec. 1303. Alaska's thrifty food plan.
Sec. 1304. Adjustment of the thrifty food plan.
Sec. 1305. Remibursement exclusion.
Sec. 1306. Energy assistance payments; excluded payments of other programs.
Sec. 1307. Disallowance of deductions for expenses paid by vendor payments.
Sec. 1308. Attribution of income and resources to sponsored aliens.
Sec. 1309. Resources.
Sec. 1310. Annualization of work registration.
Sec. 1311. Work requirements.
Sec. 1312. State issuance liability.
Sec. 1313. Access of Comptroller General to information.
Sec. 1314. Reporting of abuses by the public.
Sec. 1315. Retail redemption.
Sec. 1316. Sixl^-day transfer of certification.
Sec. 1317. Notice of verification.
Sec. 1318. Recertification notice.
Sec. 1319. Disclosure of information to Comptroller General, law enforcement ofiB-
cials.
Sec. 1320. Restoration of lost benefits.
Sec. 1321. Information.
Sec. 1322. Nutrition education pn^ram.
Sec. 1323. Alaskan fee agents.
Sec. 1324. Minimum mandatory court sentence for criminal ofTenses; work restitu-
tion program.
Sec. 1325. Staffing.
Sec. 1326. Incentives for error reduction efforts and corrective action plans.
Sea 1327. Social Security account numbers.
95 STAT. 1216 PUBLIC LAW 97-98—DEC. 22, 1981
Sec. 1328. Extending and amending cash-out pilot progects.
Sec. 1329. Nutritional monitoring.
Sec. 1330. Pilot projects to simplify the processing of applications for certain AFDC,
SSI, and Medicaid recipients.
Sec. 1331. Food stamp functing and prog^ram extension.
Sec. 1332. Incentives, sanctions, and cuums.
Sec. 1333. Workfare.
Sec. 1334. Extension of authorities, penalties for fraud, and misoellaneous provi-
sions.
Sec. 1335. Commodit3r supplemental food program—pilot projects for the elderly
and administrative costs.
Sec. 1336. Food distribution program for certain Indian households.
Sec. 1337. Authority of Office of Inspector General.
Sec. 1338. Effective date.
TITLE XIV-NATIONAL AGRICULTURAL RESEARCH, EXTENSION, AND
TEACHING POUCY ACT AMENDMENTS OF 1981
Sec. 1401. Short title.
Sec. 1402. Findings.
Sec. 1403. Purposes.
Sec. 1404. Definitions.
Sec. 1405. Responsibilitiesof the Secretary and coordinating role of the Department
of Agriculture.
Sec. 1406. Subcommittee on Food, Agricultural, and Forestry Research.
Sec. 1407. Joint Council on Food and Agricultural Sciences.
Sec. 1408. National Agricultural Research and Extension Users Advisory Board.
Sec. 1409. Existing research programs.
Sec. 1410. Federal-State partnership.
Sec. 1411. Secretary's report.
Sec. 1412. Libraries and information network.
Sec. 1413. Staff* support for the Joint Council and the Advisory Board.
Sec. 1414. General provisions; additional Assistant Secretary of Agriculture.
Sec. 1415. Program for competitive, special, and facilities grants for agricultural re-
search.
Sec. 1416. Amendments to the Research Facilities Act of 1963.
Sec. 1417. Apportionment of funds appropriated for schools of veterinary medicine.
Sec. 1418. Federal support of higher education in the food and agricultural sciences.
Sec. 1419. Transfer of functions under the Second Morrill Act.
Sec. 1420. National Agricultural Science Award.
Sec. 1421. Redesignation of instruction funding.
Sec. 1422. Alcohol and industrial hydrocarbons.
Sec. 1423. Nutrition education program.
Sec. 1424. Repeal of section 1426 of the National Agricultural Research, Extension,
and Teaching Policy Act of 1977,
Sec. 1425. Human nutrition research and information management system.
Sec. 1426. Conforming amendment.
Sec. 1427. Eligible institutions for animal health and disease research funds.
Sec. 1428. Animal Health Science Research Advisory Board.
Sec. 1429. Appropriations for animal health and disiease research programs at eligi-
ble institutions.
Sec. 1430. Appropriations for research on specific national or r ^ o n a l animal
health or disease problems.
Sec. 1431. Extension at 1890 land-grant colleges, including Tuskegee Institute.
Sec. 1432. Agriculture research in 1890 land%rant colleges, including Tuskegee In-
stitute.
Sec. 1433. Authority to award grants to upgrade 1890 land-grant college research
facilities.
Sec. 1434. Authorization for appropriations for solar eneigy model farms and dem-
onstration projects.
Sec. 1435. Solar energy definition.
Sec. 1436. International ^ricultural research and extension.
Sec. 1437. Authorization for appropriations for existing and certain new agriculture
al research programs.
Sec. 1438. Authorization for appropriations for extension programs.
Sec. 1439. Miscellaneous provisions.
Sec. 1440. Aquaculture and rangeland research.
Sec. 1441. Cooperative State forestry.
Sec. 1442. Prohibition against reduction of State funds upon increase in Federal al-
lotment.
Sec. 1443. Excess Federal propertv.
Sec. 1444. Rural development and small farm research and extension.
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1217
Sec. 1445. Increased emphasis on marketing education programs for small and
medium size fanuly farming operations.
Sec. 1446. Soybean Research Advisory Institute.
Sec. 1447. Administrative jurisdiction over lands.
TITLE XV—RESOURCE CONSERVATION
Subtitle A—Soil and Water Conservation
Sec. 1501. Policy.
Subtitle B—Special Areas Conservation Program
Sec. 1502. Findings.
Sec. 1503. Formulation and implementation of special areas conservation program.
Sec. 1504. Program to be directed at specific problems.
Sec. 1505. Contract limitations.
Sec. 1506. Notification of Congress and approval of designations.
Sec. 1507. Utilization of services and facilities.
Sec. 1508. Improvement of technology.
Sec. 1509. Authorization for appropriations.
Sec. 1510. Report to Congress.
Sec. 1511. Protection of participants.
Subtitle C—Amendments to the Small Watershed Program and to the Bankhead-
Jones Farm Tenant Act
Sec. 1512. Amendments to small watershed program.
Sec. 1513. Amendment to the Bankhead-Jones Farm Tenant Act
Subtitle D—Matching Grants for Conservation Activities
Sec. 1514. Grants program.
Sec. 1515. Program implementation and review.
Sec. 1516. Plans.
Sec. 1517. Matching funds.
Sec. 1518. Recdi^.
Sec. 1519. Authorization for appropriations.
Subtitle E—Conservation Loan Program
Sec. 1520. Conservation loans.
Subtitle F—Reservoir Sedimentation Reduction Program
Sec 1521. Formulation of program.
Sec. 1522. Plans.
Sec. 1523. Approval of plans.
Sec. 1524. Authorization for appropriations.
Sec. 1525. Report
Subtitle G—^Volunteers for Department of Agriculture Programs
Sec. 1526. Establishment of program.
Sec. 1527. Authorization for appropriations.
Subtitle H—Resource Conservation and Development Program
Sea 1528. Purpose.
Sec. 1529. Definitions.
Sec 1530. Resource conservation and development program.
Sec 1531. Selection of new designated areas.
Sec. 1532. Authority of the Secretary.
Sec. 1533. Agreements? terms and conditions.
Sec 1534. Reaouroe Conservation and Development Poliqr Board.
Sec 1535. Evaluation of program.
Sec 1536. Limitation on provision of assistance.
Sec 1537. Suimlemental authority of the Secretary.
Sec 1538. Auuunization for appropriations.
95 STAT. 1218 PUBLIC LAW 97-98—DEC. 22, 1981
Subtitle I—Farmland Protection Policy Act
Sec. 1539. Short title.
Sec. 1540. Findings, purpose, and definitions.
Sec. 1541. Farmland protection policy.
Sec. 1542. Existing policies and procedures.
Sec. 1543. Technictu assistance.
Sec. 1544. Farmland resource information.
Sec. 1545. Grants; contracts.
Sec. 1546. Report.
Sec. 1547. Statement of limitation.
Sec. 1548. Prohibition.
Sec. 1549. Effective date.
Subtitle J—Miscellaneous Provisions
Sec. 1550. Local search and rescue operations.
Sec. 1551. Reclamation.
Sec. 1552. Payments for land removed from production for conservation purposes.
Sec. 1553. Conservation tillage.
Sec. 1554. R^ulations.
TITLE XVI-CREDIT, RURAL DEVELOPME^fT, AND FAMILY FARMS
Sec. 1601. Farmers Home Administration real estate and operating loans to cooper-
atives.
Sec. 1602. Equalizing access to credit for widows and other single parents.
Sec. 1603. Lease of facilities.
Sec. 1604. Borrower's net worth.
Sec. 1605. Extension of the Emergency Agricultural Credit Ac^ustment Act of 1978.
Sec. 1606. Farm storage facility loan program.
Sec. 1607. Rural telephone bank amendment.
Sec. 1608. United States policy on family farms.
TITLE XVn-FLORAL RESEARCH AND CONSUMER INFORMATION
Sec. 1701. Short title.
Sec. 1702. Congressional findings and declaration of policy.
Sec. 1703. Definitions.
Sec. 1704. Floral research and promotion orders.
Sec. 1705. Notice and hearing.
Sec. 1706. Finding and issuance of an order.
Sec. 1707. Required terms in orders.
Sec. 1708. Permissive terms in orders.
Sec. 1709. Requirement of referendum.
Sec. 1710. Suspension and termination of orders.
Sec. 1711. Provisions applicable to amendments.
Sec. 1712. Exemptions.
Sec. 1713. Producer or importer refund.
Sec. 1714. Petition and review.
Sec. 1715. Enforcement.
Sec. 1716. Certification of organizations.
Sec. 1717. Regulations.
Sec. 1718. Investigations; power to subpena and take oaths and affirmations; aid of
courts.
Sec. 1719. Separability.
Sec. 1720. Authorization.
TITLE XVin—EFFECTIVE DATE
Sec. 1801. Effective date.
TITLE I—DAIRY
FEDERAL MILK MARKETING ORDERS
SEC. 101. (a) The Agricultural Adjustment Act, as reenacted and
amended by the Agricultural Marketing Agreement Act of 1937, is
further simended by—
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1219
(1) striking out in subparagraph (B) of subsection 8c(5) all that 7 use 608c
part of said subparagraph (B) which follows the comma at the
end of clause (c) and inserting in lieu thereof the following: "(d) a
further adjustment to encours^e seasonal adjustments in the
production of milk through equitable apportionment of the total
value of the milk purchased by any handler, or by all handlers,
among producers on the basis of their marketings of milk during
a representative period of time, which need not be limited to one
year, and (e) a provision providing for the accumulation and
disbursement of a fund to encourage seasonal adjustments in the
production of milk may be included in an order.";
(2) striking out the period at the end of subsection 8c(17) and
adding in lieu thereof the following: ": Provided further, That if
one-third or more of the producers as defined in a milk order
apply in writing for a heeuing on a proposed amendment of such
order, the Secretary shall call such a hearing if the proposed
amendment is one that may legally be made to such order.
Subsection (12) of this section shall not be construed to permit
any cooperative to act for its members in an application for a
hearing under the foregoing proviso and nothing in such proviso
shall be construed to preclude the Secretary from calling an
amendment hearing as provided in subsection (3) of this section.
The Secretary shall not be required to call a hearing on any
proposed amendment to an order in response to an application
for a hearing on such proposed amendment if the application
requesting the hearing is received by the Secretary within ninety
days after the date on which the Secretary has announced the
decision on a previously proposed amendment to such order and
the two proposed amendments are essentially the same."; and
(3) inserting after the phrase "pure and wholesome milk" in
section 8c(18) the phrase "to meet current needs and further to
assure a level of farm income adequate to maintain productive
capacity sufficient to meet anticipated future needs".
(b) The provisions of subsection (a) shall become effective January Effective
1,1982, and shall terminate December 31,1985. date.
7 u s e 608c note.
LEGAL STATUS OF PRODUCER HANDLERS
SEC. 102. The legal status of producer handlers of milk under the 7 u s e 608c note
provisions of the Agricultural Adjustment Act, as reenacted and 7 u s e 601 note.
amended by the Agricultural Marketing Agreement Act of 1937,
shall be the same subsequent to the adoption of the amendment made
by the Agriculture and Food Act of 1981 as it was prior thereto.
MILK PRICE SUPPORT
SEC. 103. Section 201 of the Agricultural Act of 1949, as amended by
section 150 of the Omnibus Budget Reconciliation Act of 1981, is Ante, p. 369.
amended by—
(1) striking out everything in subsection (c) after the first
sentence and inserting in lieu thereof the following: "Notwith-
standing the foregoing, (1) effective for the period beginning with
the date of enactment of this sentence and ending September 30,
1982, the price of milk shall be supported at such level as
determined by the Secretary, but not less than $13.10 per
hundredweight for milk containing 3.67 per centum milk fat; and
(2) effective for each of the fiscal years ending September 30,
1983, September 30, 1984, and September 30, 1985, the price of
95 STAT. 1220 PUBLIC LAW 97-98—DEC. 22, 1981
milk shall be supported at such level as determined by the
Secretary, but not less than $13.25, $14.00, and $14.60, respective-
ly, per hundredweight for milk containing 3.67 per centum milk
fat: Provided, That, for each fiscal year during the period
beginning October 1,1982, and ending September 30,1985, if the
Secretary estimates as of the b^inning of any such fiscal year
that the net cost of Government price support purchases of milk
or the products of milk will be less than $1,000,000,000 during the
fiscal year, the price of milk shall be supported at such level as
determined by the Secretary, but not less than 70 per centum of
the parity price therefor as of the beginning of the relevant fiscal
year: Provided further, That if the Secretary estimates that net
Government price support purchases of milk or the products of
milk will be less than 4.0 billion pounds (milk equivalent) in
fiscal year 1983; 3.5 billion pounds (milk equivalent) in fiscal year
1984; and 2.69 billion pounds (milk equivalent) infiscalyear 1985,
the price of milk shall be supported at such level as determined
by the Secretary, but not less than 75 per centum of the parity
price therefor as of the beginning of the relevant fiscal year. Such
price support shall be provided through the purchase of milk and
the products of milk."; and
(2) repealing subsection (d).
TRANSFER OF DAIRY PRODUCTS TO VETERANS HOSPITALS AND THE
MILITARY
7 use 1446a. SEC. 104. Section 202 of the Agricultural Act of 1949 is amended by
striking out "1981" in subsections (a) and (b) and inserting in lieu
thereof "1985".
DAIRY INDEMNITY PROGRAM
7 use 450/. SEC. 105. Section 3 of the Act of August 13,1968 (7 U.S.C. 4501), is
amended by striking out "1981" and inserting in lieu thereof "1985".
REDUCTION OF DAIRY PRODUCT INVENTORIES
7 use 1446C-1. SEC. 106. The Secretary of Agriculture shall utilize, to the fullest
extent practicable, the authorities under the Commodity Credit
15 use 714 note. Corporation Charter Act (including exportation of dairy products at
not less than prevailing world market prices), the ^ricultural Trade
7 use 1691 note. Development and Assistance Act of 1954 (Public Law 480), and other
authorities available to the Secretary to reduce inventories of dairy
products held by the Commodity Credit Corporation so as to reduce
net Commodity Credit Corporation expenditures to the estimated
outlays for the milk price support program used in developing budget
31 use 1301 outlays under the Congressional Budget Act of 1974 for the appropri-
note. atefiscalyear.
DAIRY PROGRAM OPERATION REPORT
7usei446c-i SEC. 107. Not later than December 31, 1982, the Secretary of
note- Agriculture shall submit to the House Committee on Agriculture and
the Senate Committee on Agriculture, Nutrition, and Forestry a
report describing the strengths and weaknesses of existing Federal
programs, and the consequences of possible new programs, for control-
ling or minimizing surpluses of fiuid milk and the products thereof.
The report shall include, but need not be limited to, an assessment, on
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1221
a r ^ o n by r ^ o n basis, of the effect of existing and proposed pricing
mechanisms on supply and demand conditions, including the impact
on farm income and consumer costs. The report shall also describe
the social costs and benefits associated with such programs.
TITLE n—WOOL AND MOHAIR
EXTENSION OF SUPPORT PROGRAM; SUPPORT PRICE
SEC. 201. Section 703 of the National Wool Act of 1954 is amended 7 use 1782.
by-
CD striking out "1981" in subsection (a) and inserting in lieu
thereof "1985"; and
(2) striking out all that follows the comma in subsection (b)
after the word "Provided*' and inserting in lieu thereof the
following: "That for the marketing years beginning January 1,
1982, and ending December 31,1985, the support price for shorn
wool shall be 77.5 per centum (rounded to the nearest full cent) of
the amount calculated according to the forgoing formula.".
TITLE m—WHEAT
LOAN RATES, TARGET PRICES, DISASTER PAYMENTS, WHEAT ACREAGE RE-
DUCTION AND SET-ASIDE PROGRAM, AND LAND DIVERSION FOR THE
1982 THROUGH 1985 CROPS OF WHEAT
SEC. 301. Effective only for the 1982 through 1985 crops of wheat,
the Agricultural Act of 1949 is amended by adding after section 107A
a new section aa follows:
"SEC. 107B. Notwithstanding any other provision of law— 7 use I445b-i.
"(a) The Secretary shall make available to producers loans and
purchases for each of the 1982 through 1985 crops of wheat at such
level, not less than $3.55 per bushel, as the Secret£uy determines will
maintain the competitive relationshi]p of wheat to other grains in
domestic and export markets after taking into consideration the cost
of producing wheat, s u ^ l y and demand conditions, and world prices
for wheat: Provided, lliat if the Secretary determines that the
average price of wheat received by producers in any marketing year
is not more than 105 per centum of the level of loans and purchases
for wheat for such marketing year, the Secretary may reduce the
level of loans and purchases for wheat for the next marketing year by
the amount the Secretary determines necessciry to maintain domestic
and export markets for grain, except that the level of loans and
purchases shall not be reduced by more than 10 per centum in any
year nor below $3 per bushel.
"(bXlXA) In addition, the Secretary shall make available to produc-
ers payments for each of the 1982 through 1985 crops of wheat in an
amount computed as provided in this subsection. Payments for any
such crop of wheat shall be computed by multiplying (i) the payment
rate, by (ii) the farm lovogram acreage for the crop, by (iii) the farm
program payment yield for the crop. In no event may payments be
made under this paragraph for any crop on a greater acreage than
the acreage actually planted to wheat.
"(B) The payment rate for wheat shall be the amount by which the
higher of—
"(i) the national weighted average market price received by
farmers during the first five months of the marketing year for
such crop, as determined by the Secretary, or
95 STAT. 1222 PUBLIC LAW 97-98—DEC. 22, 1981
"(ii) the loan level determined under subsection (a) of this
section for such crop
is less than the established price per bushel.
"(C) The established price for wheat shall be not less than $4.05 per
bushel for the 1982 crop, $4.30 per bushel for the 1983 crop, $4.45 per
bushel for the 1984 crop, and $4.65 per bushel for the 1985 crop. Any
such established price may be adjusted by the Secretary as the
Secretary determines to be appropriate to reflect any change in (i) the
average adjusted cost of production per acre for the two crop years
immediately preceding the year for which the determination is made
from (ii) the average adjusted cost of production per acre for the two
crop years immediately preceding the year previous to the one for
which the determination is made. The adjusted cost of production for
each of such years may be determined by the Secretary on the basis of
such information as the Secretary finds necessary and appropriate
for the purpose and may include variable costs, machinery ownership
costs, and general farm overhead costs, allocated to the crops
involved on the basis of the proportion of the value of the total
production derived from each crop.
"(D) Notwithstanding the foregoing provisions of this section, if the
Secretary adjusts the level of loans and purchases for wheat in
accordance with the proviso in subsection (a) of this section, the
Secretary shall provide emergency compensation by increasing the
established price payments for wheat by such amount as the Secre-
tary determines necessary to provide the same total return to
producers as if the adjustment in the level of loans and purchases had
not been made: Provided, That any payments under this subpara-
graph shall not be included in the payments subject to limitations
under the provisions of section 1101 of the Agriculture and Food Act
Post, p. 1263. of 1981.
"(E) The total quantity on which pa5mients would otherwise be
payable to a producer on a farm for any crop under this paragraph
shall be reduced by the quantity on which any disaster payment is
made to the producer for the crop under paragraph (2) of this
subsection.
"(2)(A) Except as provided in subparagraph (C) of this paragraph, if
the Secretary determines that the producers on a farm are prevented
from planting any portion of the acreage intended for wheat to wheat
or other nonconserving crops because of drought, flood, or other
natural disaster, or other condition beyond the control of the produc-
ers, the Secretary shall make a prevented planting disaster pa3mient
to the producers 9n the number of acres so affected but not to exceed
the acreage planted to wheat for harvest (including any acreage
which the producers were prevented from planting to wheat or other
nonconserving crop in lieu of wheat because of drought, flood, or
other natural disaster, or other condition beyond the control of the
producers) in the immediately preceding year, multiplied by 75 per
centum of the farm program payment yield established by the
Secretary times a pajmient rate equal to 33 Va per centum of the
established price for the crop.
"(B) Except as provided in subparagraph (C) of this paragraph, if
the Secretary determines that because of drought, flood, or other
natural disaster, or other condition beyond the control of the produc-
ers, the total quantity of wheat which the producers are able to
harvest on any farm is less than the result of multiplying 60 per
centum of the farm program payment yield established by the
Secretary for such crop by the acreage planted for harvest for such
crop, the Secretary shall make a reduced yield disaster payment to
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1223
the producers at a rate equal to 50 per centum of the established price
for the crop for the deficiency in production below 60 per centum for
the crop.
"(C) Producers on a farm shall not be eligible for disaster payments
under this paragraph if crop insurance is available to them under the
Federal Crop Insurance Act with respect to their wheat acreage. 7 use I50i.
"(D) Notwithstanding the provisions of subparagraph (C) of this
parEigraph, the Secretary may make disaster payments to producers
on a farm under this paragraph whenever the Secretary determines
that—
"(i) as the result of drought, flood, or other natural disaster, or
other condition beyond the control of the producers, producers on
a farm have suffered substantial losses of production either from
being prevented from planting wheat or other nonconserving
crop or from reduced yields, and that such losses have created an
economic emergency for the producers;
"(ii) Federal crop insurance indemnity payments and other
forms of assistance made available by the Federal Government to
such producers for such losses are insufficient to alleviate such
economic emergency, or no crop insurance covered the loss
because of transitional problems attendant to the Federal crop
insurance program; and
"(iii) additional assistance must be made available to such
producers to alleviate the economic emergency.
The Secretary may make such adijustments in the amount of pay-
ments made available under this subparagraph with respect to
individual farms so as to assure the equitable allotment of such
payments among producers taking into account other forms of
Federal disaster assistance provided to the producers for the crop
involved.
"(cXD The Secretary shall proclaim a national program acreage for
each of the 1982 through 1985 crops of wheat. The proclamation shall
be made not later than August 15 of each calendar year for the crop
harvested in the next succeeding calendar year, except that in the
case of the 1982 crop, the proclamation shall be made as ,soon as
practicable after enactment of the Agriculture and Food Act of 1981.
The Secretary may revise the national program acreage first pro-
claimed for any crop year for the purpose of determining the
allocation factor under paragraph (2) of tms subsection if the Secre-
tary determines it necessary based upon the latest information, and
the Secretary shall proclaim such revised national program acreage
as soon as it is made. The national pr(^am acreage for wheat shall be
the number of harvested acres the Secretary determines (on the basis
of the weighted national average of the farm program payment yields
for the crop for which the determination is made) will produce the
quantity (less imports) that the Secretary estimates will be utilized
domestically and for export during the marketing year for such crop.
If the Secretary determines that carryover stocks of wheat are
excessive or an increase in stocks is needed to assure desirable
carryover, the Secretary may adjust the national program acreage by
the amount the Secretary determines will accomplish the desired
increase or decrease in carryover stocks.
"(2) The Secretary shall determine a program allocation factor for
each crop of wheat. The allocation factor for wheat shall be deter-
mined by dividing the national program acreage for the crop by the
number of acres that the Secretary estimates will be harvested for
such crop, except that in no event shall the allocation factor for any
89-194 O—82 79 : QL3
95 STAT. 1224 PUBLIC LAW 97-98—DEC. 22, 1981
crop of wheat be more than 100 per centum nor less than 80 per
centum.
"(3) The individual farm program acreage for each crop of wheat
shall be determined by multiplying the allocation factor by the
acreage of wheat planted for harvest on the farms for which individu-
al farm program acreages are required to be determined. The farm
program acreage shall not be further reduced by application of the
allocation factor if the producers reduce the acreage of wheat planted
for harvest on the farm from the acreage base established for the
farm under subsection (eX2) of this section by at least the percentage
recommended by the Secretary in the proclamation of the nationeil
program acreage. The Secretary shall provide fair and equitable
treatment for producers on farms on which the acreage of wheat
planted for harvest is less than the acreage base established for the
farm under subsection (eX2), but for which the reduction is insuffi-
cient to exempt the farm from the application of the allocation factor.
In establishing the allocation factor for wheat, the Secretary may
make such adjustment as the Secretary deems necessary to take into
account the extent of exemption of farms under the foregoing
provisions of this paragraph.
"(d) The farm progr..jn pajmient yield for each crop of wheat shall
be the yield established for the farm for the previous crop year,
adjusted by the Secretary to provide a fair and equitable jdeld. If no
payment 5deld for wheat was established for the farm in the previous
crop year, the Secretary may determine such yield as the Secretary
finds fair and reeisonable. Notwithstanding the foregoing provisions
of this subsection, in the determination of yields, the Secretary shall
take into account the actual yields proved by the producer, and
neither such yields nor the farm program payment yield established
on the basis of such yields shall be reduced under other provisions of
this subsection. If the Secretaiy determines it necessary, the Secre-
tary may establish national. State, or county program payment 3rields
on the basis of historical jdelds, as adjusted by the Secretary to
correct for abnormal factors a£fecting such yields in the historical
period, or, if such data are not available, on the Secretary's estimate
of actual yields for the crop year involved. If national. State, or
county program payment yields are established, the farm program
payment yields shall balance to the national, State, or county
program payment 3delds.
"(eXD Notwithstanding any other provision of this section, the
Secretary may provide for any crop either for a program under which
the acreage planted to wheat would be limited as described in
paragraph (2) or a set-aside program as described in paragraph (3) of
this subsection if the Secretary determines that the total supply of
wheat, in the absence of such a program, will be excessive, taking mto
account the need for an adequate carryover to maintain reasonable
and stable supplies and prices and to meet a national emergency. The
Secretary shall announce any such wheat acreage limitation pro-
gram or set-aside program not later than August 15 prior to the
calendar year in which the crop is harvested, except that in the case
of the 1982 crop, the Secretary shall announce such pr(^am as soon
as practicable aiter enactment of the Agriculture and Food Act of
1981.
"(2) If a wheat acreage limitation program is announced under
paragraph (1) of this subsection, such limitation shall be achieved by
applying a uniform percentage reduction to the acreage base for eacn
wheat-producing farm. Producers who knowingly produce wheat in
excess of the permitted wheat acreage for the farm shall be ineligible
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1225
for wheat loans, purchases, and payments with respect to that farm.
The acreage base for any farm for the purpose of determining any
reduction required to be made for any year as the result of a
limitation under this paragraph shall be the acreage planted on the
farm to wheat for harvest in the crop year immediately preceding the
year for which the determination is made or, at the discretion of the
Secretary, the average acreeige planted to wheat for harvest in the
two crop years immediately preceding the year for which the determi-
nation is made. For the purpose of the preceding sentence, acreage
planted to wheat for harvest shall include any acreage which the
producers were prevented from planting to wheat or other noncon-
serving crop in lieu of wheat because of drought, flood, or other
natural disaster, or other condition beyond the control of the produc-
ers. The Secretary may make adjustments to reflect established crop-
rotation practices ana to reflect such other factors as the Secretary
determines should be considered in determining a fair and equitable
base. A number of acres on the farm determined by dividing (A) the
product obtained by multiplying the number of acres required to be
withdrawn from the production of wheat times the number of acres
actually planted to such commodity, by (B) the number of acres
authorized to be planted to such commodity under the limitation
established by the Secretary shsdl be devoted to conservation uses, in
accordance with regulations issued by the Secretary. The number of
acres so determined is heresrfter in this subsection referred to as
'reduced acreage'. If an acreage limitation program is announced
under paragraph (1) of this subsection for a crop of wheat, subsection
(c) of this section shall not be applicable to such crop, including any
prior announcement which may nave been made under such subsec-
tion with respect to such crop. The individual farm program acreage
shall be the acreage planted on the farm to wheat for harvest within
the permitted wheat acreage for the farm as established under this
paragraph.
"(o) If a set-aside program is announced under paragraph (1) of this
subsection, then as a condition of eligibility for loans, purchases, and
payments authorized by this section, the producers on a farm must
set aside and devote to conservation uses an acreage of cropland equal
to a specified percentage, as determined by the Secretary, of the
acreage of wheat plantea for harvest for the crop for which the set-
aside is in effect. The set-aside acreage shall be devoted to conserva-
tion uses, in accordance with regulations issued by the Secretary. If a
set-aside program is established, the Secretary may limit the acreage
planted to wheat. Such limitation shall be applied on a uniform basis
to all wheat-producing farms. The Secretary may make such adjust-
ments in individual set-aside acreages under this section as the
Secretary determines necessary to correct for abnormal factors
affecting production, and to give due consideration to tillable acreage,
crop-rotation practices, types of soil, soil and water conservation
measures, topography, and such other factors as the Secretary deems
necessary.
"(4) The regulations issued by the Secretary under pars^aphs (2)
and (3) of this subsection with respect to acreage required to be
devoted to conservation uses shall assure protection of such acreage
from weeds and wind and water erosion. The Secretary may permit,
subject to such terms and conditions as the Secretary may prescribe,
£dl or any part of such acreage to be devoted to sweet sorghum, hay
and grazing or the production of guar, sesame, safflower, sunflower,
castor beans, mustard seed, crambe, plantago ovato, flaxseed, triti-
cale, rye, or other commodity, if the Secretary determines that such
95 STAT. 1226 PUBLIC LAW 97-98—DEC. 22, 1981
production is needed to provide an adequate supply of such commod-
ities, is not likely to increase the cost of the price support program,
and will not affect farm income adversely. In determining the
amount of land to be devoted to conservation uses under an acreage
limitation or set-aside program with respect to land that has been
farmed under summer fallow practices, as defined by the Secretary,
the Secretary shall consider the effects of soil erosion and such other
factors as the Secretary considers appropriate.
"(5) The Secretary may make land diversion payments to producers
of wheat, whether or not an acreage limitation or set-aside program
for wheat is in effect, if the Secretary determines that such land
diversion payments are necessary to assist in adjusting the total
national acreage of wheat to desirable goals. Such land diversion
payments shall be made to producers who, to the extent prescribed by
the Secretary, devote to approved conservation uses an acreage of
cropland on the farm in accordance with land diversion contracts
entered into by the Secretary with such producers. The amounts
payable to producers under land diversion contracts may be deter-
mined through the submission of bids for such contracts by producers
in such manner as the Secretary may prescribe or through such other
means as the Secretary determines appropriate. In determining the
acceptability of contract offers, the Secretary shall take into consider-
ation the extent of the diversion to be undertaken by the producers
and the productivity of the acreage diverted. The Secretary shall
limit the total acreage to be diverted under agreements in any county
or local community so as not to affect adversely the economy of the
county or local community.
"(6) Any reduced acreage, set-aside acreage, and additional divert-
ed acreage may be devoted to wildlife food plots or wildlife habitat in
conformity with standards established by the Secretary in consulta-
tion with wildlife agencies. The Secretary may pay an appropriate
share of the cost of practices designed to carry out the purposes of the
foregoing sentence. The Secretary may provide for an additional
payment on such acreage in an amount determined by the Secretary
to be appropriate in relation to the benefit to the general public if the
producer agrees to permit, without other compensation, access to all
or such portion of the farm, as the Secretary may prescribe, by the
general public, for hunting, trapping, fishing, and hiking, subject to
applicable State and Federal regulations.
(7) An operator of a farm desiring to participate in the program
conducted under this subsection shall execute an agreement with the
Secretary providing for such participation not later than such date as
the Secretary may prescribe. The Secretary may, by mutual agree-
ment with the producers on the farm, terminate or modify any such
agreement if the Secretary determines such action necessary because
of an emergency created by drought or other disaster or to prevent or
alleviate a shortage in the supply of agricultural commodities.
"(f) If the failure of a producer to comply fully with the terms and
conditions of the program conducted under this section precludes the
making of loans, purchases, and payments, the Secretaiy may,
nevertheless, make such loans, purchases, and payments in such
amounts as the Secretary determines to be equitable in relation to
the seriousness of the failure. The Secretary may authorize the
county and State committees established under section SOt)) of the Soil
16 use 590h. Conservation and Domestic Allotment Act to waive or modify dead-
lines and other program requirements in cases in which lateness or
failure to meet such other requirements does not affect adversely the
operation of the program.
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1227
"(g) The Secretary may issue such regulations as the Secretary
determines necessary to carry out the provisions of this section.
"(h) The Secretary shall carry out the program authorized by this
section through the Commodity Credit Corporation.
"(i) The provisions of section 8(g) of the Soil Conservation and
Domestic Allotment Act (relating to assignment of payments) shall 16 u s e 590h.
apply to payments under this section.
(j) The Secretary shall provide for the sharing of payments made
under this section for any farm among the producers on the farm on a
fair and equitable basis.
"(k) Notwithstanding any other provision of law, compliance on a
farm with the terms and conditions of any other commodity program
may not be required as a condition of eligibility for loans, purchases,
or payments under this section if an acreage limitation program is
established under subsection (eX2) of this section, but may be required
if a set-aside program is established under subsection (e)(3) of this
section.".
NONAPPUCABILTTY OF CERTIFICATE REQUIREMENTS
SEC. 302. Sections 379d, 379e, 379f, 379g, 379h, 379i, and 379j of the 7 u s e 1379d
Agricultural Adjustment Act of 1938 (which deal with marketing note.
certificate requirements for processors and exporters) shall not be 7 u s e 1379d-
applicable to wheat processors or exporters during the period June 1, 1379J.
1982, through May 31,1986.
SUSPENSION OF MARKETING QUOTAS AND PRODUCER CERTIFICATE
PROVISIONS
SEC. 303. Sections 331, 332, 333, 334, 335, 336, 338, 339, 379b, and 7 u s e 1331 note.
379c of the Agricultural Adjustment Act of 1938 shall not be applica- 7 use
ble to the 1982 through 1985 crops of wheat. 1331-1336, 1338,
1339, 1379b,
SUSPENSION OF QUOTA PROVISIONS 1379c.
SEC. 304. Public Law 74, Seventy-seventh Congress (55 Stat. 203, as 7 u s e 1330 note.
amended) shall not be applicable to the crops of wheat planted for 7 u s e 1330,
harvest in the calendar years 1982 through 1985. 1340.
NONAPPUCABIUTY OF SECTION 107 OF THE AGRICULTURAL ACT OF 1949
TO THE 1982 THROUGH 1985 CROPS OF WHEAT
SEC. 305. Section 107 of the Agricultural Act of 1949 shall not be 7 u s e 1445a
applicable to the 1982 through 1985 crops of wheat. note.
7 u s e 1445a.
TITLE IV—FEED GRAINS
LOAN RATES, TARGET PRICES, DISASTER PAYMENTS, FEED GRAIN ACRE-
AGE REDUCTION AND SET-ASIDE PROGRAM, AND LAND DIVERSION FOR
THE 1982 THROUGH 1985 CROPS OF FEED GRAINS
SEC. 401. Effective only for the 1982 through 1985 crops of feed
grains, the Agricultural Act of 1949 is amended by adding after
section 105A a new section as follows:
"SEC. 105B. Notwithstanding any other provision of law— 7 u s e 1444d.
"(a)(1) The Secretary shall make available to producers loans and
purchases for each of the 1982 through 1985 crops of corn at such
level, not less than $2.55 per bushel, as the Secretary determines will
encourage the exportation of feed grains and not result in excessive
95 STAT. 1228 PUBLIC LAW 97-98—DEC. 22, 1981
total stocks of feed grains after taking into consideration the cost of
producing corn, supply and demand conditions, and world prices for
com: Provided, That if the Secretary determines that the average
price of com received by producers in any marketing year is not more
than 105 per centum of the level of loans and purchases for com for
such marketing year, the Secretary may reduce the level of loans and
purchases for com for the next marketing year by the amount the
Secretary determines necessary to maintam domestic and export
markets for grain, except that the level of loans and purchases shall
not be reduced by more than 10 per centum in any year nor below $2
per bushel.
"(2) The Secretary shall make available to producers loans and
purchases for each of the 1982 through 1985 crops of grain sorghums,
barley, oats, and rye, respectivelj^, at such level as the Secretary
determines is fair and reasonable in relation to the level that loans
and purchases are made available for corn, taking into consideration
the feeding value of such commodity in relation to corn and other
7 use 1421. factors specified in section 401(b) of this Act.
"(b)(1)(A) The Secretary shall make available to producers pay-
ments for each of the 1982 through 1985 crops of corn, grain
sorghums, oats, and, if designated by the Secretary, barley, in an
amount computed as provided in this subsection. Pa5nnents for any
such crop of feed grains shall be computed by multipljdng (i) the
payment rate, by (ii) the farm program acreage for the crop, by (iii)
the farm program pa3nnent 3del<r for the crop. In no event may
payments be made under this paragraph for any crop on a greater
acreage than the acreage actually planted to such feed grains.
"(B) The payment rate for corn snail be the amount by which the
higher of—
"(i) the national weighted average market price received by
farmers during the first five months of the marketing year for
such crop, as determined by the Secretary, or
"(ii) the losm level determined under subsection (a) of this
section for such crop
is less than the established price per bushel.
"(C) The established price for corn shall be not less than $2.70 per
bushel for the 1982 crop, $2.86 per bushel for the 1983 crop, $3.03 per
bushel for the 1984 crop, and $3.18 per bushel for the 1985 crop. Any
such established price may be adjusted by the Secretary as the
Secretary determines to be appropriate to reflect any change in (i) the
average adjusted cost of production per acre for the two crop years
immediately preceding the year for which the determination is made
from (ii) the average adjusted cost of production per acre for the two
crop years immediately preceding the year previous to the one for
which the determination is made. The adjusted cost of production for
each of such years may be determined by the Secretary on the basis of
such information as the Secretary finds necessary and appropriate
for the purpose and may include variable costs, machinery ownership
costs, and general farm overhead costs, allocated to the crops in-
volved on the basis of the proportion of the value of the total
production derived from each crop.
"(D) Notwithstanding the foregoing provisions of this section, if the
Secretary adjusts the level of loans and purchases for corn in
accordance with the proviso in subsection (a)(1) of this section, the
Secretary shall provide emergency compensation by increasing the
established price pajmients for corn by such amount as the Secretary
determines necessary to provide the same total return to producers as
if the adjustment in the level of loans and purchases had not been
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1229
made: Provided, That any such payments under this subparagraph
shj^ not be included in the payments subject to limitations under the
provisions of section 1101 of the Agriculture and Food Act of 1981. Post, p. 1263.
"(E) The payment rate for grain sorghums, oats, and, if designated
by the Secretary, barley, shadl be such rate as the Secretary deter-
mines fair and reasonable in relation to the rate at which pajmients
are made available for com.
"(F) The total quantity on which payments would otherwise be
payable to a producer on a farm for any crop under this paragraph
shall be reduced by the quantity on wMch any disaster pa3maent is
made to the producer for the crop under paragraph (2) of this
subsection.
"(2XA) Except as provided in subparagraph (C) of this paragraph, if
the Secretary determines that the producers on a farm are prevented
from planting any portion of the acreage intended for feed grains to
feed grains or other nonconserving crops because of drought,flood,or
other natural disaster, or other condition beyond the control of the
producers, the Secretary shall make a prevented planting disaster
payment to the producers on the number of acres so affected but not
to exceed the acreage planted to feed grains for harvest (including
any acreage which the producers were prevented from planting to
feed grains or other nonconserving crop in lieu of feed grains because
of drought,flood,or other natural dissister, or other condition beyond
the control of the producers) in the immediately preceding year,
multiplied by 75 per centum of the farm program pajnnent 5deld
established by the Secretary times a payment rate equal to 33 Vs per
centum of the established price for the crop.
"(B) Except as provided in subparagraph (C) of this paragraph, if
the Secretary determines that because of drought, flood, or other
natural disaster, or other condition beyond the control of the produc-
ers, the total quantity of feed grains which the producers are able to
harvest on any farm is less than the result of multiplying 60 per
centum of the farm program payment yield established by the
Secretary for such crop by the acreage planted for harvest for such
crop, the Secretary shall make a reduced yield disaster payment to
the producers at a rate equal to 50 per centiun of the established price
for the crop for the deficiency in production below 60 per centum for
the crop.
"(C) Producers on a farm shall not be eligible for disaster pa5mients
under this paragraph if crop insurance is available to them under the
Federal Crop Insurance Act with respect to their feed grain acreage. 7 use 1501.
"(D) Notwithstanding the provisions of subparagraph (C) of this
paragraph, the Secretary may make disaster payments to producers
on a farm under this paragraph whenever the ^ r e t a r y determines
that—
"(i) as the result of drought,flood,or other natural disaster, or
other condition beyond the control of the producers, producers on
a farm have suffered substantial losses of production either from
being prevented from planting feed grains or other nonconserv-
ing crop or from reduced jdelds, and that such losses have created
an economic emergency for the producers;
"(ii) Federal crop insurance indemnity pa5rments and other
forms of assistance made available by the Federal (Government to
such producers for such losses are insufficient to sdleviate such
economic emergency, or no crop insurance covered the loss
because of transitional problems attendant to the Federal crop
insurance progrgmi; and
95 STAT. 1230 PUBLIC LAW 97-98—DEC. 22, 1981
"(iii) additional assistance must be made available to such
producers to alleviate the economic emergency.
The Secretary may make such adjustments in the amount of pay-
ments made available under this subparagraph with respect to
individual farms so as to assure the equitable allotment of such
payments among producers taking into account other forms of
Federal disaster assistance provided to the producers for the crop
involved.
"(c)(1) The Secretary shall proclaim a national program acreage for
each of the 1982 through 1985 crops of feed grains. The proclamation
shall be made not later than November 15 of each calendar year for
the crop harvested in the next succeeding calendar year, except that
in the case of the 1982 crop, the proclamation shall be made as soon as
practicable after enactment of the Agriculture and Food Act of 1981.
The Secretary may revise the national program acreage first pro-
claimed for any crop year for the purpose of determining the
allocation factor under paragraph (2) of this subsection if the Secre-
tary determines it necessary based upon the latest information, and
the Secretary shall proclaim such revised national program acreage
as soon as it is made. The national program acreage for feed grains
shall be the number of harvested acres the Secretary determines (on
the basis of the weighted national average of the farm program
payment yields for the crop for which the determination is made) will
produce the quantity (less imports) that the Secretary estimates will
be utilized domestically and for expMort during the marketing year for
such crop. If the Secretary determines that carryover stocks of feed
grains are excessive or an increase in stocks is needed to assure
desirable carryover, the Secretary may adjust the national program
acreage by the amount the Secretary determines will accomplish the
desired increase or decrease in carryover stocks.
"(2) The Secretary shall determine a program allocation factor for
each crop of feed grains. The allocation factor for feed grains shall be
determined by dividing the national program acreage for the crop by
the number of acres that the Secretary estimates will be harvested
for such crop, except that in no event shall the allocation factor for
any crop of feed grains be more than 100 per centum nor less than 80
per centum.
"(3) The individual farm program acreage for each crop of feed
grains shall be determined by multiplying the allocation factor by the
acreage of feed grains planted for harvest on the farms for which
individual farm program acreages are required to be determined. The
farm program acreage shall not be further reduced by application of
the allocation factor if the producers reduce the acreage of feed grains
planted for harvest on the farm from the acreage base established for
the farm under subsection (e)(2) of this section by at leeist the
percentage recommended by the Secretary in the proclamation of the
national program acreage. The Secretary shall provide fair and
equitable treatment for producers on farms on which the acreage of
feed grains planted for harvest is less than the acreage base estab-
lished for the farm under subsection (eX2), but for which the reduc-
tion is insufficient to exempt the farm from the application of the
allocation factor. In establishing the allocation factor for feed grains,
the Secretary may make such adjustment as the Secretary deems
necessary to take into account the extent of exemption of farms under
the foregoing provisions of this paragraph.
"(d) The farm program payment yield for each crop of feed grains
shall be the yield established for the farm for the previous crop year,
adjusted by the Secretary to provide a fair and equitable yield. If no
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1231
payment yield for feed grains was established for the farm in the
previous crop year, the Secretary may determine such yield as the
Secretary finds fair and reasonable. Notwithstanding the foregoing
provisions of this subsection, in the determination of yields, the
Secreteury shall take into account the actual yields proved by the
producer, and neither such yields nor the farm program payment
yield established on the basis of such vields shall be reduced under
other provisions of this subsection. If the Secretaiy determines it
necessary, the Secretary may establish national, State, or county
program payment yields on the basis of historicalyields, as adjusted
by me Secretary to correct for abnormal factors affecting such yields
in the historical period, or, if such data are not available, on the
Secretary's estimate of actual yields for the crop year involved. If
national. State, or county program payment yields are established,
the farm program payment yields shall balance to the national. State
or county program payment yields.
"(eXD Notwithstanding any other provision of this section, the
Secretary may provide for any crop either for a program under which
the acreage planted to feed grains would be limited as described in
paragraph (2) or a set-aside program as described in paragraph (3) of
this subsection if the Secretary determines that the total supply of
feed grains, in the absence of such a program, will be excessive,
taking into account the need for an adequate carryover to maintain
reasonable and steble supplies and prices and to meet a national
emergency. The Secretary shall announce any such feed grain acre-
age limitation program or set-aside program not later than Novem-
ber 15 prior to the calendar vear in which the crop is harvested,
except that in the case of the 1982 crop, the Secreteuy shaU announce
such progam as soon as practicable after enactment of the A^cul-
ture and Food Act of 1981.
''(2) If a feed grain acreage limitetion program is announced under
paragraph (1) of this subsection, such limitation shall be achieved by
applying a uniform percentage reduction to the acreage base for each
feed grain-producing farm. Producers who knowingly produce feed
grains in excess of the permitted feed graia acreage for the farm shall
be ineligible for feed grain loans, purchases, and payments with
respect to that farm. The Secretary may provide that no producer of
malting barley shall be required as a condition of eligibiuly for feed
grain loans, purchases, and payments to comply with any acreage
limitation under this paragraph if such producer has previously
produced a malting variety of barley, plants barley only of an
acceptable malting variety for harvest, and meets such other condi-
tions as the Secretary may prescribe. The acreage base for any farm
for the purpose of determinmg any reduction recjuired to be made for
any year as the result of a limitation under this paragraph shall be
the acreage planted on the farm to feed grains for harvest in the crop
year immediately preceding the year for which the determination is
made or, at the discretion of the Secretary, the average acreage
planted to feed grains for harvest in the two crop years immediately
preceding the year for which the determination is made. For the
purpose of the preceding sentence, acreage planted to feed grains for
harvest shall include any acreage which the producers were pre-
vented from planting to feed grams or other nonconserving crop in
lieu of feed grains because of drought, flood, or other natural disaster,
or other condition beyond the control of the producers. The Secreteuy
may make adjustments to reflect establish^ crop-rotation practices
and to reflect such other factors as the Secretary determines should
be considered in determining a fair and equitable base. A number of
95 STAT. 1232 PUBLIC LAW 97-98—DEC. 22, 1981
acres on the farm determined by dividing (A) the product obtained by
multiplying the number of acres required to be withdrawn from the
production of feed grains times the number of acres actually planted
to such commodity, by (B) the number of acres authorized to be
planted to such commodity under the limitation established by the
Secretary shall be devoted to conservation uses, in accordance with
regulations issued by the Secretary. The number of acres so deter-
mined is hereafter in this subsection referred to as 'reduced acreage'.
If an acreage limitation program is announced under paragraph (1) of
this subsection for a crop of feed grains, subsection (c) of this section
shall not be applicable to such crop, including any prior announce-
ment which may have been made under such subsection with respect
to such crop. The individual farm program acreage shall be the
acreage planted on the farm to feed grains for harvest within the
permitted feed grain acreage for the farm as established under this
paragraph.
"(3) If a set-aside program is announced under paragraph (1) of this
subsection, then as a condition of eligibility for loans, purchases, and
payments authorized by this section, the producers on a farm must
set aside and devote to conservation uses an acreage of cropland equal
to a specified percentage, as determined by the Secretary, of the
acreage of feed grains planted for harvest for the crop for which the
set-aside is in effect. The set-aside acreage shall be devoted to
conservation uses, in accordance with regulations issued by the
Secretary. If a set-aside program is established, the Secretary may
limit the acreage planted to feed grains. Such limitation shall be
applied on a uniform basis to all feed grain-producing | farms. The
Secretary may make such adjustments in individual set-aside acre-
ages under this section as the Secretary determines necessary to
correct for abnormal factors affecting production, and to give due
consideration to tillable acreage, crop-rotation practices, types of
soil, soil and water conservation measures, topography, and such
other factors as the Secretary deems necessary.
"(4) The regulations issued bv the Secretary under paragraphs (2)
and (3) of this subsection witn respect to acreage required to be
devoted to conservation uses shall assure protection of such acreage
from weeds and wind and water erosion. The Secretary may permit,
subject to such terms and conditions as the Secretary may prescribe,
all or any part of such acreage to be devoted to sweet sorghum, hay
and grazing or the production of guar, sesame, safflower, sunflower,
castor besms, mustard seed, crambe, plantago ovato, flaxseed, triti-
cale, rye, or other commodity, if the Secretary determines that such
production is needed to provide an adequate supply of such commod-
ities, is not likely to increase the cost of the price support program,
and will not affect farm income adversely.
"(5) The Secretary may make land diversion payments to producers
of feed grains, whether or not an acreage limitation or set-aside
program for feed grains is in effect, if the Secretary determines that
such land diversion payments are necessary to assist in adjusting the
total national acre£^e of feed grains to desirable goals. Such land
diversion payments shall be made to producers who, to the extent
prescribed by the Secretary, devote to approved conservation uses an
acreage of cropland on the farm in accordance with land diversion
contracts entered into by the Secretary with such producers. The
amounts payable to producers under land diversion contracts may be
determined through the submission of bids for such contracts by
producers in such manner as the Secretary may prescribe or such
other means as the Secretary determines appropriate. In determin-
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1233
ing the acceptability of contract offers, the Secretary shall take into
consideration the extent of the diversion to be undertaken by the
producers and the productivity of the acreage diverted. The Secretary
shall limit the total acreage to be diverted under agreements in any
county or local community so as not to affect adversely the economy
of the county or local community.
"(6) Any reduced acreage, set-aside acreage, and additional
diverted acreage may be devoted to wildlife food plots or wildlife
habitat in conformity with standards established by the Secretary in
consultation with wildlife agencies. The Secretary may pay an
appropriate share of the cost of practices designed to carry out the
purposes of the foregoing sentence. The Secretary may provide for an
additional payment on such acreage in an amount determined by the
Secretary to be appropriate in relation to the benefit to the general
public if the producer agrees to permit, without other compensation,
access to all or such portion of the farm, as the Secretary may
prescribe, by the general public, for hunting, trapping, fishing, and
hiking, subject to applicable State and Federal regulations.
"(7) An operator of a farm desiring to participate in the program
conducted under this subsection shall execute an agreement with the
Secretary providing for such participation not later than such date as
the Secretary may prescribe. The Secretary may, by mutual agree-
ment with the producers on the farm, terminate or modify any such
agreement if the Secretary determines such action necessary because
of an emergency created by drought or other disaster or to prevent or
alleviate a shortage in the supply of agricultural commodities.
"(f) If the failure of a producer to comply fully with the terms and
conditions of the program conducted under this section precludes the
making of loans, purchases, and payments, the Secretary may,
nevertheless, make such loans, purchases, and payments in such
amounts as the Secretary determines to be equitable in relation to
the seriousness of the failure. The Secretary may authorize the
county and State committees established under section 8(b) of the Soil
Conservation and Domestic Allotment Act to waive or modify dead- 16 use 590h.
lines and other program requirements in cases in which lateness or
failure to meet such other requirements does not affect adversely the
operation of the program.
"(g) The Secretary may issue such regulations as the Secretary
determines necessary to carry out the provisions of this section.
"(h) The Secretary shall carry out the program authorized by this
section through the Commodity Credit Corporation.
"(i) The provisions of section 8(g) of the Soil Conservation and
Domestic Allotment Act (relating to assignment of payments) shall
apply to pajrments under this section.
"(j) The Secretary shall provide for the sharing of payments made
under this section for any farm among the producers on the farm on a
fair and equitable b£isis.
"(k) Notwithstanding any other provision of law, compliance on a
farm with the terms and conditions of any other commodity program
may not be required as a condition of eligibility for loans, purchsises,
or pa5nnents under this section if an acreage limitation program is
established under subsection (eX2) of this section, but may be required
if a set-aside program is established under subsection (eX3) of this
section.".
95 STAT. 1234 PUBLIC LAW 97-98—DEC. 22, 1981
NONAPPUCABIUTY OF SECTION 105 OF THE AGRICULTURAL ACT OF 1949
TO THE 1982 THROUGH 1985 CROPS OF FEED GRAINS
7 use 1444b SEC. 402. Section 105 of the Agricultural Act of 1949 shall not be
"°*«; _, ^..., applicable to the 1982 through 1985 crops of feed grains.
I DISC/ 1444b.
TITLE V—COTTON
SUSPENSION OF BASE ACREAGE ALLOTMENTS, MARKETING QUOTAS AND
RELATED PROVISIONS
7 use 1342 note. SEC. 501. Sections 342,343,344,345,346, and 377 of the Agricultural
7 use Adjustment Act of 1938 shall not be applicable to upland cotton of the
1342-1346,1377. 1982 through 1985 crops.
LOAN RATES AND TARGET PRICES, DISASTER PAYMENTS, COTTON ACRE-
AGE REDUCTION PROGRAM, AND LAND DIVERSION FOR THE 1982
THROUGH 1985 CROPS OF UPLAND COTTON
SEC. 502. Effective only for the 1982 through 1985 crops of upland
7 use 1444. cotton, section 103 of the Agricultural Act of 1949 is amended by
adding at the end thereof a new subsection as follows:
"(gXD The Secretary shall, upon presentation of warehouse re-
ceipts reflecting accrued storage charges of not more than sixty days,
make available for the 1982 through 1985 crops of upland cotton to
producers nonrecourse loans for a term of ten months from the first
day of the month in which the loan is made at such level as will
reflect for Strict Low Middling one-and-one-sixteenth-inch upland
cotton (micronaire 3.5 through 4.9) at average location in the United
States the smaller of (A) 85 per centum of the average price (weighted
by market and month) of such quality of cotton as quoted in the
designated United States spot markets during three years of the five-
year period ending July 31 in the year in which the loan level is
announced, excluding the year in which the average price was the
highest and the year in which the average price was the lowest in
such period, or (B) 90 per centum of the average, for the fifteen-week
period beginning July 1 of the year in which the loan level is
announced, of the five lowest-priced growths of the growths quoted
for Middling one-and-three-thirty-seconds-inch cotton C.I.F. northern
Europe (adjusted downward by the average difference during the
period April 15 through October 15 of the year in which the loan is
announced between such average northern European price quotation
of such quality of cotton and the market quotations in the designated
United States spot markets for Strict Ix)w Middling one-and-one-
sixteenth-inch cotton (micronaire 3.5 through 4.9)). In no event shall
such loan level be less than 55 cents per pound. If for any crop the
average northern European price determined under clause (B) of the
first sentence of this paragraph is less than the average United States
spot market price determined under clause (A) of the first sentence of
this paragraph, the Secretary may, notwithstanding the foregoing
provisions of this paragraph, increase the loan level to such level as
the Secretary may deem appropriate, not in excess of the average
United States spot market price determined under clause (A) of the
first sentence of this paragraph. The loan level for any crop of cotton
shall be determined and announced by the Secretary not later than
November 1 of the calendar year preceding the marketing year for
which such loan is to be effective, except that in the case of the 1982
crop such determination and announcement shall be made as soon as
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1235
practicable after enactment of the Agriculture and Food Act of 1981,
and such level shall not thereafter be changed. Nonrecourse loans
provided for in this subsection shall, upon request of the producer
during the tenth month of the loan period for the cotton, be made
available for an additional term of eight months, except that such
request to extend the loan period shall not be approved in a month
when the average price of Strict Low Middling one-and-one-sixteenth-
inch cotton (micronaire 3.5 through 4.9) in the designated spot
markets for the preceding month exceeded 130 per centum of the
average price of such quality of cotton in such markets for the
preceding thirty-six-month period.
"(2) Whenever the Secretary determines that the average price of
Strict Low Middling one-and-one-sixteenth-inch cotton (micronaire
3.5 through 4.9) in the designated spot markets for a month exceeded
130 per centum of the average price of such quality of cotton in such
markets for the preceding thirty-six months, notwithstanding any
other provision of law, the President shall immediately establish and
proclaim a special limited global import quota for upland cotton
subject to the following conditions:
"(A) The amount of the special quota shall be equal to twenty-
one days of domestic mill consumption of upland cotton at the
seasonally adjusted average rate of the most recent three months
for which data are available.
"(B) If a special quota has been established under this para-
graph during the preceding twelve months, the amount of the
quota next established hereunder shall be the smaller of twenty-
one days of domestic mill consumption calculated as set forth in
subparagraph (A) of this paragraph or the amount required to
increase the sui)ply to 130 per centum of the demand.
"(C) As used in subparagraph (B) of this paragraph, the term
'supply' means, using the latest official data of the Bureau of the
Census, the United States Department of Agriculture, and the
United States Department of the Treasury, the carryover of
upland cotton at the beginning of the marketing year (adjusted to
four-hundred-and-eighty-pound hales) in which the special quota
is established, plus production of the current crop, plus imports
to the latest date available during the marketing year, and the
term 'demand' means the average seasonally adjusted annual
rate of domestic mill consumption in the most recent three
months for which data are available, plus the larger of average
exports of upland cotton during the preceding six marketing
years or cumulative exports of upland cotton, plus outstanding
export sales for the marketing year in which the special quota is
established.
"(D) When a special quota is established under the provisions
of this paragraph, a ninety-day period from the effective date of
the proclamation shall be allowed for entering cotton under such
quota.
Notwithstanding the foregoing provisions of this paragraph, a special
quota period shall not be established that overlaps an existing quota
period.
"(3)(A) In addition, payments shall be made for each of the 1982
through 1985 crops of upland cotton to the producers on each farm
at a rate equal to the amount by which the higher of—
"(i) the average market price received by farmers for upland
cotton during the calendar year which includes the first five
months of the marketing year for such crop, as determined by the
Secretary, or
95 STAT. 1236 PUBLIC LAW 97-98—DEC. 22, 1981
"(ii) the loan level determined under paragraph (1) of this
subsection for such crop,
is less than the established price per pound times in each case the
farm program acreage for cotton (determined in accordance with
paragraph (7) paragraph (9XA) of this subsection, but in no event on
a greater acreage than the acreage actually planted to cotton for
harvest), multiplied by the farm program payment yield for cotton
(determined in accordance with paragraph (8) of this subsection).
"(B) The established price for upland cotton shall not be less than
the higher of (i) $0.71 per pound for the 1982 crop, $0.76 per pound for
the 1983 crop, $0.81 per pound for the 1984 crop, and $0.86 per pound
for the 1985 crop, plus any adjustment made for changes in produc-
tion costs as provided in subparagraph (C) of this paragraph, or (ii)
120 per centum of the loan level determined for such crop under
paragraph (1) of this subsection.
"(C) The prices referred to in clause (i) of the preceding subpara-
graph may be adjusted by the Secretary as the Secretary determines
to be appropriate to reflect any change in (i) the average adjusted cost
of production per acre for the two crop years immediately preceding
the year for which the determination is made from (ii) the average
adjusted cost of production per acre for the two crop years immediate-
ly preceding the year previous to the one for which the determination
is made. The acijusted cost of production for each of such years may be
determined by the Secretary on the basis of such information as the
Secretary finds necessary and appropriate for the purpose and may
include variable costs, machinery ownership costs, and general farm
overhead costs, allocated to the crops involved on the basis of the
proportion of the value of the total production derived from each
crop.
"(D) The total quantity on which payments would otherwise be
payable to a producer for any crop under this parsigraph shall be
reduced by the quantity on which any disaster payment is made to
the producer for the crop under paragraph (4) of this subsection.
"(4)(A) Except as provided in subparagraph (C) of this paragraph, if
the Secretary determines that the producers on a farm are prevented
from planting any portion of the acreage intended for cotton to cotton
or other nonconserving crops because of drought, flood, or other
natural disaster, or other condition beyond the control of the produc-
ers, the Secretary shall make a prevented planting disaster payment
to the producers on the number of acres so affected but not to exceed
the acreage planted to cotton for harvest (including any acreage
which the producers were prevented from planting to cotton or other
nonconserving crop in lieu of cotton because of drought, flood, or
other natural disaster, or other condition beyond the control of the
producers) in the immediately preceding year, multiplied by 75 per
centum of the farm program payment yield established by the
Secretory times a payment rate equal to 33 Vs per centum of the
esteblished price for the crop.
"(B) Except as provided in subparagraph (C) of this paragraph, if
the Secretory determines that because of drought, flood, or other
natural disaster, or other condition beyond the control of the produc-
ers, the totol quantity of cotton which the producers are able to
harvest on any farm is less than the result of multiplying 75 per
centum of the farm program pa5rment yield esteblished by the
Secretory for such crop by the acreage planted for harvest for such
crop, the Secretary shall make a reduced yield disaster payment to
the producers at a rate equal to 33 Va per centum of the esteblished
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1237
price for the crop for the deficiency in production below 75 per
centum for the crop.
"(C) Producers on a farm shall not be eligible for disaster payments
under this paragraph if crop insurance is available to them under the
Federal Crop Insurance Act with respect to their cotton acreage. 7 use 1501.
"(D) Notwithstanding the provisions of subparagraph (C) of this
paragraph, the Secretary may make disaster payments to producers
on a farm under this paragraph whenever the Secretary determines
that—
"(i) as the result of drought,flood,or other natural disaster, or
other condition beyond the control of the producers, producers on
a farm have suffered substantial losses of production either from
being prevented from planting cotton or other nonconserving
crop or from reduced yields, and that such losses have created an
economic emergency for the producers;
"(ii) Federal crop insurance indemnity pa3mients and other
forms of assistance made available by the Federal Government to
such producers for such losses are insufficient to alleviate such
economic emergency, or no crop insurance covered the loss
because of transitional problems attendant to the Federal crop
insurance program; and
"(iii) additional assistance must be made available to such
producers to alleviate the economic emergency.
The Secretary may make such adjustments in the amount of pay-
ments made available under this subparagraph with respect to
individual farms so as to assure the equitable allotment of such
pa3rments among producers taking into account other forms of
Federal disaster assistance provided to the producers for the crop
involved.
"(5) The Secretary shall establish for each of the 1982 through 1985
crops of upland cotton a national program acreage. Such national
program acreage shall be announced by the Secretary not later than
November 1 of the calendar year preceding the year for which such
acreage is established, except that in the case of the 1982 crop, such
announcement shall be made as soon as practicable after enactment
of the Agriculture and Food Act of 1981. The Secretary may revise the
national program acreage first announced for any crop year for the
purpose of determining the allocation factor under paragraph (6) of
this subsection if the Secretary determines it necessary based upon
the latest information, and the Secretary shall announce such revised
national program acreage as soon as it has been made. The national
program acreage shall be the number of harvested acres the Secre-
tary determines (on the basis of the estimated weighted national
average of the farm program yields for the crop for which the
determination is made) will produce the quantity (less imports) that
the Secretary estimates will be utilized domestically and for export
during the marketing year for such crop. The national program
acreage shall be subject to such adjustment as the Secretary deter-
mines necessary, taking into consideration the estimated carryover
supply, so as to provide for an adequate but not excessive total supply
of cotton for the marketing year for the crop for which such national
program acreage is established. In no event shall the national
program acreage be less than ten million acres.
"(6) The Secretary shall determine a program allocation factor for
each crop of upland cotton. The allocation factor (not to exceed 100
per centum) shall be determined by dividing the national program
acreage for the crop by the number of acres that the Secretary
estimates will be harvested for such crop.
95 STAT. 1238 PUBLIC LAW 97-98—DEC. 22, 1981
"(7) The individual farm program acreage for each crop of upland
cotton shall be determined by multiplying the allocation factor by the
acreage of cotton planted for harvest on the farms for which individ-
ual farm program acreages are required to be determined. The farm
program acreage shall not be further reduced by application of the
allocation factor if the producers reduce the acreage of cotton planted
for harvest on the farm from the acreage base established for the
farm under paragraph (9XA) of this subsection by at least the
percentage recommended by the Secretary in the announcement of
the national program acreage. The Secretary shall provide fair and
equitable treatment for producers on farms on which the acreage of
cotton planted for harvest is less than the acreage base established
for the farm under paragraph (9XA) of this subsection, but for which
the reduction is insufficient to exempt the farm from the application
of the allocation factor. In establishing the allocation factor for
upland cotton, the Secretary may make such adjustment as the
Secretary deems necessary to take into account the extent of exemp-
tion of farms under the foregoing provisions of this paragraph.
"(8) The farm program payment yield for each crop of upland
cotton shall be determined on the basis of the actual yields per
harvested acre on the farm for the preceding three years, except that
the actual yields shall be adjusted by the Secretary for abnormal
yields in any year caused by drought, flood, or other natural disaster,
or other condition beyond the control of the producers. In case farm
yield data for one or more years are unavailable or there was no
production, the Secretary shall provide for appraisals to be made on
the basis of actual yields and program payment yields for similar
farms in the area for which data are avedlable. Notwithstanding the
foregoing provisions of this paragraph, in the determination of yields,
the Secretary shall take into account the actual yields proved by the
producer, and neither such yields nor the farm program payment
yield established on the basis of such yields shall be reduced under
other provisions of this paragraph. If the Secretary determines it
necessary, the Secretary may establish national, State, or county
rogram payment jdelds on the basis of historical yields, as adjusted
E y the Secretary to correct for abnormal factors affecting such yields
in the historical period, or, if such data are not available, on the
Secretary's estimate of actual yields for the crop year involved. If
national. State, or county program payment jdelds are established,
the farm program payment yields shall balance to the national. State,
or county program payment yields.
"(9XA) Notwithstanding any other provision of this subsection, the
Secretary may establish a limitation on the acreage planted to
upland cotton if the Secretary determines that the total supply of
upland cotton, in the absence of such limitation, will be excessive
taking into account the need for an adequate carryover to maintain
reasonable and stable supplies and prices and to meet a national
emergency. Such limitation shall be achieved by applying a uniform
percentage reduction to the acreage base for each cotton-producing
farm. Producers who knowingly produce cotton in excess of the
permitted cotton acreage for the farm shall be ineligible for cotton
loans and payments with respect to that farm. The acreage base for
any farm for the purpose of determining any reduction required to be
made for any year as a result of a limitation under this subparagraph
shall be the acreage planted on the farm to upland cotton for harvest
in the crop year immediately preceding the year for which the
determination is made or, at the discretion of the Secretary, the
average acreage planted to upland cotton for harvest in the two crop
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1239
years immediately preceding the year for which the determination is
made. For the purpose of the preceding sentence, acreage planted to
cotton for harvest shall include any acreage which the producers
were prevented from planting to cotton or other nonconserving crop
in lieu of cotton because of drought, flood, or other natural disaster,
or other condition beyond the control of the producers. The Secretary
may make adjustments to reflect established crop-rotation practices
and to reflect such other factors as the Secretary determines should
be considered in determining a fair and equitable base. A number of
acres on the farm determined by dividing (i) the product obtained by
multiplying the number of acres required to be withdrawn from the
production of upland cotton times the number of acres actually
planted to such commodity, by (ii) the number of acres authorized to
be planted to such commodity under the limitation established by the
Secretary shall be devoted to conservation uses, in accordance with
regulations issued by the Secretary, which will assure protection of
such acreage from weeds and wind and water erosion. The number of
acres so determined is hereafter in this subsection referred to as
'reduced acreage'. The Secretary may permit, subject to such terms
and conditions as the Secretary may prescribe, all or any part of the
reduced acreage to be devoted to sweet sorghum, hay and grazing, or
the production of guar, sesame, safflower, sunflower, castor beans,
mustard seed, crambe, plantago ovato, flaxseed, triticale, rye, or
other commodity, if the Secretary determines that such production is
needed to provide an adequate supply of such commodities, is not
likely to increase the cost of the price support program, and will not
affect farm income adversely. If an acreage limitation program is
announced under this parsigraph for a crop of upland cotton, para-
graphs (5), (6), and (7) of this subsection shall not be applicable to such
crop, including any prior announcement which may have been made
under such paragraphs with respect to such crop. The individual
farm program acreage shall be the acreg^e planted on the farm to
upland cotton for harvest within the permitted upland cotton acreage
for the farm as established under this paragraph.
"(B) The Secretary may make land diversion payments to produc-
ers of upland cotton, whether or not an acreage limitation for upland
cotton is in effect, if the Secretary determines that such land
diversion payments are necessary to assist in adjusting the total
national acreage of upland cotton to desirable goals. Such land
diversion payments shall be made to producers who, to the extent
prescribed by the Secretary, devote to approved conservation uses an
acreage of cropland on the farm in accordance with land diversion
contracts entered into by the Secretary with such producers. The
amounts payable to producers under land diversion contracts may be
determined through the submission of bids for such contracts by
producers in such manner as the Secretary may prescribe or through
such other means £is the Secretary determines appropriate. In deter-
mining the acceptability of contract offers, the Secretary shall take
into consideration the extent of the diversion to be undertaken by the
producers and the productivity of the acreage diverted. The Secretary
shall limit the total acreage to be diverted under agreements in any
county or local community so as not to affect adversely the economy
of the county or local community.
"(C) The reduced acreage and the diverted acreage may be devoted
to wildlife food plots or wildlife habitat in conformity with standards
established by the Secretary in consultation with wildlife agencies.
The Secretary may pay an appropriate share of the cost of practices
designed to carry out the purposes of the foregoing sentence. The
-194 0—82 80:QL3
95 STAT. 1240 PUBLIC LAW 97-98—DEC. 22, 1981
Secretary may provide for an additional payment on such acreage in
an amount determined by the Secretary to be appropriate in relation
to the benefit to the general public if the producer agrees to permit,
without other compensation, access to all or such portion of the farm,
as the Secretary may prescribe, by the general public, for hunting,
trapping, fishing, and hiking, subject to applicable State and Federal
regulations.
'(10) An operator of a farm desiring to participate in the program
conducted under paragraph (9) of this subsection shall execute an
agreement with the Secretary providing for such participation not
later than such date as the Secretary may prescribe. The Secretary
may, by mutual agreement with the producers on the farm, termi-
nate or modify any such agreement if the Secretary determines such
action necessary because of an emergency created by drought or
other disaster or to prevent or alleviate a shortage in the supply of
agricultural commodities.
"(11) The Secretary shall provide for the sharing of payments made
under this subsection for any farm among the praiucers on the farm
on a fair and equitable basis.
"(12) The Secretary shall provide adequate safeguards to protect
the interests of tenants and sharecroppers.
"(13) If the failure of a producer to comply fully with the terms and
conditions of the program formulated under this subsection precludes
the making of loans and payments, the Secretary may, nevertheless,
make such loans and payments in such amounts as the Secretary
determines to be equitable in relation to the seriousness of the
failure. The Secretary may authorize the county and State commit-
tees established under section 8(b) of the Soil Conservation and
16 use 590h. Domestic Allotment Act to waive or modify deadlines and other
program requirements in cases in which lateness or failure to meet
such other requirements does not affect adversely the operation of
the program.
"(14) The Secretary may issue such regulations as the Secretary
determines necessary to carry out the provisions of this subsection.
"(15) The Secretary shall carry out the program authorized by this
subsection through the Commodity Credit Corporation.
"(16) The provisions of subsection 8(g) of the Soil Conservation and
Domestic Allotment Act (relating to assignment of payments) shall
apply to payments under this subsection.
(17) Notwithstanding any other provision of law, compliance on a
farm with the terms and conditions of any other commodity program
may not be required as a condition of eligibility for loans or payments
under this subsection.
"(18) In order to encoureige and assist producers in the orderly
ginning and marketing of their cotton production, the Secretary shall
make recourse loans available to such producers on seed cotton in
accordance with authority vested in the Secretary under the Com-
15 use 714 note, modity Credit Corporation Charter Act.".
COMMODITY CREDIT CORPORATION SALES PRICE RESTRICTIONS
SEC. 503. Effective only with respect to the period beginning August
1,1978, and ending July 31,1986, the tenth sentence of section 407 of
7 use 1427. the Agricultural Act of 1949 is amended by striking out all of that
sentence through the words "110 per centum of the loan rate, and (2)"
and inserting in lieu thereof the following: "Notwithstanding any
other provision of law, (1) the Commodity Credit Corporation shall
sell upland cotton for unrestricted use at the same prices as it sells
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1241
cotton for export, in no event, however, at less than 115 per centum of
the loan rate for Strict Low Middling one and one-sixteenth inch
upland cotton (micronaire 3.5 through 4.9) adjusted for such current
market differentials reflecting grade, quality, location, and other
value factors as the Secretary determines appropriate plus reason-
able carrsdng charges, and (2)'.
MISCELLANEOUS COTTON PROVISIONS
SEC. 504. Sections 103(a) and 203 of the Agricultural Act of 1949 7 u s e 1446d
shall not be applicable to the 1982 through 1985 crops. note.
7 u s e 1444,
1446d.
SKIPROW PRACTICES
SEC. 505. Section 374(a) of the Agricultural Adjustment Act of 1938 7 use 1374.
is amended by striking out "1981" and inserting in lieu thereof
"1985".
PRELIMINARY ALLOTMENTS FOR 1986 CROP OF UPLAND COTTON
SEC. 506. Notwithstanding any other provision of law, the perma- 7 use 1342 note.
nent State, county, and farm base acreage allotments for the 1977
crop of upland cotton, adjusted for any underplantings in 1977 and
reconstituted as provided in section 379 of the Agricultural Adjust-
ment Act of 1938, as amended, shall again become effective as 7 use 1379.
preliminary allotments for the 1986 crop.
UPLAND COTTON LOAN DIFFERENTIALS
SEC. 507. Section 403 of the Agricultural Act of 1949 is amended by 7 use 1423.
adding at the end thereof the following: "Beginning with the 1982
crop, the quality differences (premiums and discounts for grade,
staple, and micronaire) for the upland cotton loan program shall be
established by the Secretary by giving equal weight to (1) loan
differences for the preceding crop and (2) the market differences for
such crop in the nine designated United States spot markets. The Study
Secretary shall establish a study committee of ten members, eight of committee.
whom shall be representatives of cotton producers selected to equally
represent each of the four major geographic regions which produce
and market upland cotton, one of whom shall be a representative of
cotton merchants, and one of whom shall be a representative of the
textile manufacturers. The committee shall study alternative meth-
ods of establishing values of premiums and discounts for grade,
staple, and micronaire for the upland cotton loan program that will
accurately represent true relative market values and reflect actual
market demand for upland cotton produced in the United States. The
committee shall submit the results of such study to the Secretary at
the earliest practicable date together with such recommendations as
the committee considers appropriate. The Secretary may, prior to the
announcement of loan rate differences for the 1982 crop of upland
cotton, review the procedures and criteria, including the recommen-
dations made by the study committee and the formula provided in the
fifth sentence of this section for determining quality differences,
including the loan differentials for grade, staple, and micronaire for
the upland cotton loan program and, on the basis of such review,
revise such procedures and criteria to accurately reflect the actual
market value of upland cotton produced in the United States.".
95 STAT. 1242 PUBLIC LAW 97-98—DEC. 22, 1981
EXTRA LONG STAPLE COTTON PRICE SUPPORT
SEC. 508. Effective beginning with the 1982 crop of extra long staple
7 use 1441. cotton, section 101(f) of the Agricultural Act of 1949 is amended to
readasfoUov^:
"(f) The provisions of this Act relating to price support for
cotton shall apply severally to (1) American upland cotton and (2)
extra long staple cotton described in subsection (a) and ginned as
required by subsection (e) of section 347 of the Agricultural
7 use 1347. A(Oustment Act of 1938, as amended, except that, notwithstand-
ing any other provision of this Act, price support shall be made
available for the 1982 and each subsequent crop of extra long
staple cotton through nonrecourse loans as provided in this
subsection. If producers have not disapproved marketing quotas
for any crop of extra long staple cotton, price support loans shall
be made available to cooperators for such crop at a level which is
not less than 75 per centum or more than 125 per centum in
excess of the loan level established for Strict Low Middling one
and one-sixteenth inch upland cotton (micronaire 3.5 through
4.9) of such crop at average location in the United States. If
producers have disapproved marketing quotas for any crop of
extra long staple cotton, price support loans shall be made
available to cooperators for such crop at a level which shall be 50
per centum in excess of the loan level established for Strict Low
Middling one and one-sixteenth inch upland cotton (micronaire
3.5 through 4.9) of such crop at average location in the United
States. Nothing contained herein shall affect the authority of the
Secretary to make price support available for extra long staple
7 use 1422. cotton in accordance with section 402 of this Act.".
TITLE VI—RICE
REPEAL OF PROVISIONS RELATING TO NATIONAL ACREAGE ALLOTMENTS,
ALLOCATIONS, APPORTIONMENT, MARKETING QUOTAS, AND PENALTIES
Repeals. SEC. 601. Effective beginning with the 1982 crop of rice, sections
Io¥^^ o.. 352,353,354,355, and 356 of the Agricultural Ac^ustment Act of 1938
1352-1356. are repealed.
LOAN RATES, TARGET PRICES, DISASTER PAYMENTS, RICE ACREAGE
REDUCTION PROGRAM, AND LAND DIVERSION FOR THE 1982 THROUGH
1985 CROPS OF RICE
SEC. 602. Effective only for the 1982 through 1985 crops of rice,
7 use 1441. section 101 of the Agricultural Act of 1949 is amended by adding at
the end thereof a new subsection as follows:
"(i) Notwithstanding any other provision of law—
"(1) The Secretary shall make available to producers in the
several States of the United States loans and purchases for each
of the 1982 through 1985 crops of rice at such level as bears the
same ratio to the loan level for the preceding year's crop as the
established price for each such crop bears to the established price
for the preceding year's crop. If the Secretary determines that
loans and purchases at the foregoing level for any of the 1982
through 1985 crops would substantially discourage the exporta-
tion of rice and result in excessive stocks of rice in the United
States, the Secretary may, notwithstanding the foregoing provi-
sions of this paragraph, establish loans and purchases for any
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1243
such crop at such level, not less than $8 per hundredweight, as
the Secretary determines necessary to avoid such consequences:
Provided, That the loan and purchase level for the succeeding
crop shall be established on the basis of the loan and purchase
level established for the preceding crop year before the applica-
tion of this sentence. The loan and purchase level and
the established price for each of the 1982 through 1985 crops of
rice shall be announced not later than March 1 of each calendar
year for the crop harvested in that calendar year.
"(2)(A) In aadition, the Secretary shall make available to
producers payments for each of the 1982 through 1985 crops of
rice grown in the several States of the United States in an
amount computed as provided in this paragraph. Payments for
each such crop of rice shall be computed by multiplying (i) the
payment rate, by (ii) the farm program acreage for the crop, by
(iii) the 5deld established for the farm. In no event shall payments
be made under this paragraph for any crop on a greater acreage
than the acreage actually planted to rice.
"(B) The payment rate for rice shall be the amount by which
the established price for the crop of rice exceeds the higher of—
"(i) the national average market price received by farmers
during the first five months of the marketing year for such
crop, as determined by the Secretary, or
(ii) the loan level determined under paragraph (1) for
such crop.
"(C) The established price for rice shall be not less than $10.85
per hundredweight for the 1982 crop, $11.40 per hundredweight
for the 1983 crop, $11.90 per hundredweight for the 1984 crop,
and $12.40 per hundredweight for the 1985 crop. Any such
established price may be adjusted by the Secretary as the
Secretary determines to be appropriate to reflect any change in
(i) the average adjusted cost of production per acre for the two
crop years immediately preceding the year for which the deter-
mination is made from (ii) the average adjusted cost of produc-
tion per acre for the two crop years immediately preceding the
year previous to the one for which the determination is made.
The adjusted cost of production for each of such years may be
determined by the Secretary on the basis of such information as
the Secretary finds necessary and appropriate for the purpose
and may include variable costs, machinery ownership costs, and
general farm overhead costs, allocated to the crops involved on
the basis of the proportion of the value of the total production
derived from each crop.
"(D) The jdeld established for the farm for any year shall be
determined on the basis of the actual yields per harvested acre
for the three preceding years. The actual yields shall be adjusted
by the Secretary for abnormal jdelds in any year caused by
drought, flood, other natural disaster, or other condition beyond
the control of the producers. If no rice was produced on the farm
during such period, the yield shall be determined taking into
consideration the yield of comparable farms in the surrounding
area and such other factors as the Secretary determines will
produce a fair and equitable yield.
"(E) The total quantity on which payments would otherwise be
payable to a producer on a farm for any crop under this
paragraph shall be reduced by the quantity on which any
disaster payment is made to the producer for the crop under
paragraph (3) of this subsection.
95 STAT. 1244 PUBLIC LAW 97-98—DEC. 22, 1981
"(3)(A) Except as provided in subparagraph (C) of this para-
graph, if the Secretary determines that the producers on a farm
are prevented from planting any portion of the acreage intended
for rice to rice or other nonconserving crops because of drought,
flood, or other natural disaster, or other condition beyond the
control of the producers, the Secretary shall make a prevented
planting disaster pa3anent to the producers on the number of
acres so affected but not to exceed the acreage planted to rice for
harvest (including any acreage which the producers were pre-
vented from planting to rice or other nonconserving crop in lieu
of rice because of drought, flood, or other natural disaster, or
other condition beyond the control of the producers) in the
immediately preceding year, multiplied by 75 per centum of the
yield established for the farm times a payment rate equal to 33 Va
per centum of the established price for the crop.
"(B) Except as provided in subparagraph (C) of this paragraph,
if the Secretary determines that because of drought, flood, or
other natural disaster, or other condition beyond the control of
the producers, the total quantity of rice which the producers are
able to harvest on any farm is less than the result of multiplying
75 per centum of the yield established for the farm for such crop
by the acreage planted for harvest for such crop, the Secretary
shall make a reduced 3deld disaster payment to producers at a
rate equal to 33 Va per centum of the established price for the crop
for the deficiency in production below 75 per centum for the crop.
"(C) Producers on a farm shall not oe eligible for disaster
payments under this paragraph if crop insurance is available to
7 use 1501. them under the Federal Crop Insurance Act with respect to their
rice acreage.
"(D) Notwithstanding the provisions of subparagraph (C) of
this paragraph, the Secretary may make disaster pajmtients to
producers on a farm under this paragraph whenever the Secre-
tary determines that—
"(i) as the result of drought, flood, or other natural
disaster, or other condition beyond the control of the produc-
ers, producers on a farm have suffered substantial losses of
production either from being prevented from planting rice or
other nonconserving crop or from reduced yields, and that
such losses have created an economic emergency for the
producers;
"(ii) Federal crop insurance indemnity pa3rments and
other forms of assistance made available by the Federal
Government to such producers for such losses are insuffi-
-": cient to alleviate such economic emergency, or no crop
insurance covered the loss because of transitional problems
attendant to the Federal crop insurance program; and
"(iii) additional assistance must be made available to such
producers to alleviate the economic emergency.
The Secretary may make such adjustments in the amount of
payments made available under this subparagraph with respect
to individual farms so as to assure the equitable allotment of
such payments among producers taking into account other forms
of Federal disaster assistance provided to the producers for the
crop involved.
(4XA) The Secretary shall proclaim a national program acre-
age for each of the 1982 through 1985 crops of rice. The proclama-
tion shall be made not later than January 31 of each calendar
year for the crop harvested in that calendar year. The Secretary
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1245
may revise the national program acreage first proclaimed for
any crop year for the purpose of determining the allocation
factor under subparagraph (B) of this paragraph if the Secretary
determines a revision necessary based upon the latest informa-
tion, and the Secretary shall proclaim such revised national
program acreage as soon as it is made. The national program
acreage for rice shall be the number of harvested acres the
Secretary determines (on the basis of the weighted national
average of the farm established yields for the crop for which the
determination is made) will produce the quantity (less imports)
that the Secretary estimates will be utilized domestically and for
export during the marketing year for such crop. If the Secretary
determines that carryover stocks of rice are excessive or an
increase in stocks is needed to assure desirable carryover, the
Secretary may adjust the national program acreage by the
amount the Secretary determines will accomplish the desired
increase or decrease in carryover stocks.
"(B) The Secretary shall determine a program allocation factor
for each crop of rice. The allocation factor for rice shall be
determined by dividing the national program acreage for the
crop by the number of acres that the Secretary estimates will be
harvested for such crop. In no event may the allocation factor for
any crop of rice be more than 100 per centum nor les3 than 80 per
centum.
"(C) The individual farm program acreage for each crop of rice
shall be determined by multiplying the sdlocation factor by the
acreage of rice planted for harvest on the farms for which
individual farm program acreages are required to be determined.
The farm program acreage shall not be further reduced by
application of the allocation factor if the producers reduce the
acreage of rice planted for harvest on the farm from the acreage
base established for the farm under paragraph (5XA) of this
subsection by at least the percentage recommended by the
Secretary in the proclamation of the national program acreage.
The Secretary snail provide fair and equitable treatment for
roducers on farms on which the acreage of rice planted for
P arvest is less than the acreage base established for the farm
under paragraph (5XA) of this subsection, but for which the
reduction is insufficient to exempt the farm from the application
of the allocation factor. In establishing the allocation factor for
rice, the Secretary may make such adjustment as the Secretary
deems necessary to take into account the extent of exemption of
farms under the foregoing provisions of this paragraph.
"(5XA) Notwithstanding any other provision of this subsection,
the Secretary may establish a limitation on the acreage planted
to rice if the Secretary determines that the total supply of rice, in
the absence of such limitation, will be excessive taking into
account the need for an adequate carryover to maintain reason-
able and stable supplies and prices and to meet a national
emergency. Any such limitation shall be announced by the
Secretary not later than January 31 of the calendar year in
which the crop for which the announcement is made is harvest-
ed. Such limitation shall be achieved by appljdng a uniform
percentage reduction to the acreage base for each rice-producing
farm. Producers who knowingly produce rice in excess of the
permitted rice acreage for the farm shall be ineligible for rice
loans, purchases, and payments with respect to that farm. The
acreage base for any farm for the purpose of determining any
95 STAT. 1246 PUBLIC LAW 97-98—DEC. 22, 1981
reduction required to be made for any year as the result of a
limitation under this subparagraph shall be the acreage planted
on the farm to rice for harvest in the crop year immediately
preceding the year for which the determination is made or, at the
discretion of the Secretary, the average acreage planted to rice
for harvest in the two crop years immediately preceding the year
for which the determination is made. For the purpose of the
preceding sentence, acreage planted to rice for harvest shall
include any acreage which the producers were prevented from
planting to rice or other nonconserving crop in lieu of rice
because of drought, flood, or other natural disaster, or other
condition beyond the control of the producers. The Secretary
may make aajustments to reflect established crop-rotation prac-
tices and to reflect such other factors as the Secretary deter-
mines should be considered in determining a fair and equitable
base. A number of acres on the farm determined by dividing (i)
the product obtained by multiplying the number of acres
required to be withdrawn from the production of rice times the
number of acres actually planted to rice, by (ii) the number of
acres authorized to be planted to rice under the limitation
established by the Secretary shall be devoted to conservation
uses, in accordance with regulations issued by the Secretary,
which will assure protection of such acreage from weeds and
wind and water erosion. The number of acres so determined is
hereafter in this subsection referred to as 'reduced acreage'. The
Secretary may permit, subject to such terms and conditions as
the Secretary may prescribe, all or any part of the reduced
acreage to be devoted to sweet sorghum, hay and grazing or the
production of guar, sesame, safflower, sunflower, castor beans,
mustard seed, crambe, plantago ovato, flaxseed, triticale, rye, or
other commodity, if the Secretary determines that such produc-
tion is needed to provide an adequate supply of such commod-
ities, is not likely to increase the cost of the price support
f)rogram, and will not affect farm income adversely. If an acreage
imitation program is announced under this paragraph for a crop
of rice, paragraph (4) of this subsection shall not be applicable to
such crop, including any prior announcement which may have
been made under such paragraph with respect to such crop. The
individual farm program acreage shall be the acreage planted on
the farm to rice for harvest within the permitted rice acreage for
the farm as established under this paragraph.
"(B) The Secretary may make land diversion payments to
producers of rice, whether or not an acreeige limitation for rice is
in effect, if the Secretary determines that such land diversion
payments are necessary to assist in adjusting the total national
acreage of rice to desirable goals. Such land diversion payments
shall be made to producers who, to the extent prescribed by the
Secretary, devote to approved conservation uses an acreage of
cropland on the farm in accordance with land diversion contracts
entered into by the Secretary with such producers. The amounts
payable to producers under land diversion contracts may be
determined through the submission of bids for such contracts by
producers in such manner as the Secretary may prescribe or
through such other means as the Secretary determines appropri-
ate. In determining the acceptability of contract offers, the
Secretary shall take into consideration the extent of the diver-
sion to be undertaken by the producers and the productivity of
the acreage diverted. The Secretary shall limit the total acreage
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1247
to be diverted under agreements in any county or local com-
munity so as not to affect adversely the economy of the county or
local community.
"(C) The reduced acreage and the additional diverted acreage
may be devoted to wildlife food plots or wildlife habitat in
conformity with standards established by the Secretary in con-
sultation with wildlife agencies. The Secretary may pay an
appropriate share of the cost of practices designed to carry out
the purposes of the foregoing sentence. The Secretary may
provide for an additional payment on such acreage in an amount
determined by the Secretary to be appropriate in relation to the
benefit to the general public if the producer agrees to permit,
without other compensation, access to all or such portion of the
farm, as the Secretary may prescribe, by the general public, for
hunting, trapping, fishing, and hiking, subject to applicable State
and Federal regulations.
"(D) An operator of a farm desiring to participate in the
program conducted under this paragraph shall execute an agree-
ment with the Secretary providing for such participation not
later than such date as the Secretary may prescribe. The Secre-
tary may, by mutual agreement with the producers on the farm,
terminate or modify any such agreement if the Secretary deter-
mines such action necessary because of an emergency created by
drought or other disaster or to prevent or alleviate a shortage in
the supply of agricultural commodities.
"(6) The Secretary shall provide for the sharing of pajmients
made under this subsection for any farm among the producers on
the farm on a fair and equitable basis. ^ -
"(7) The Secretary shall provide adequate safeguards to protect
the interests of tenants and sharecroppers.
"(8) If the failure of a producer to comply fully with the terms
and conditions of the program formulated under this subsection
precludes the making of loans, purchases, and pajnnents, the
Secretary may, nevertheless, make such loans, purchases, and
payments in such amounts as the Secretary determines to be
equitable in relation to the seriousness of the failure. The
Secretary may authorize the county and State committees estab-
lished under section 8(b) of the SoU Conservation and Domestic
Allotment Act to waive or modify deadlines and other program 16 use 590h.
requirements in cases in which lateness or failure to meet such
other requirements does not £^ect adversely the operation of the
program.
"(9) The Secretary may issue such regulations as the Secretary
determines necessary to carry out the provisions of this subsec-
tion.
"(10) The Secretary shall carry out the program authorized by
this subsection through the Commodity Credit Corporation.
"(11) The provisions of subsection 8(g) of the Soil Conservation
and Domestic Allotment Act (relating to assignment of pay-
ments) shall apply to payments under this subsection.
"(12) NotwithstancUng any other provision of law, compliemce
on a farm with the terms and conditions of any other commodity
program may not be required as a condition of eligibility for
lo£uis, purchases, or payments under this subsection.".
95 STAT. 1248 PUBLIC LAW 97-98—DEC. 22, 1981
REPORT ON TRADING OP RICE FUTURES
7 use 1441 note. SEC. 603. The Secretary of Agriculture shall by July 31, 1983,
submit a report to Congress evaluating the trading of rice futures on
the commodity exchanges. The report shall contain an assessment as
to whether the rice futures prices effectively reflect the market prices
for rice except for certain factors such as canying charges and
storage costs. In addition, the S e c r e t ^ shall include in such report
an assessment of the feasibility of using the seasonal average price
received by farmers for rough rice or the futures price for rice as a
basis for calculating the support and loan rate for rice as provided for
7 use 1421 note, in the Agricultural Act of 1949. Such report shall contain any other
recommendations of the Secretary as may relate to these matters.
TITLE Vn—PEANUTS
SUSPENSION OF MARKETING QUOTAS AND ACREAGE ALLOTMENTS
SEC. 701. The following provisions of the Agricultural Adjustment
Act of 1938 shall not be applicable to the 1982 through 1985 crops of
peanuts:
7 use 1358 note. (1) Subsections (a) through (j) of section 358;
7 use 1358a (2) Subsections (a) through (h) of section 358a;
note. (3) Subsections (a), (b), (d), and (e) of section 359;
7 use 1359 note. (4) Part I of subtitle C of title IH; and
7 use 1361 note. (5) Section 371.
7 u s e 1371 note.
NATIONAL POUNDAGE QUOTA AND FARM POUNDAGE QUOTA
SEC. 702. Effective only for the 1982 through 1985 crops of peanuts,
7 use 1358. section 358 of the Agricultural Adjustment Act of 1938 is amended by
adding at the end thereof new subsections as follows:
"(k) The national poundage quota for peanuts for each marketing
year shall be 1,200,000 tons for 1982; 1,167,300 tons for 1983; 1,134,700
tons for 1984; and 1,100,000 tons for 1985.
"(IXD The national poundage quota established under subsection
(k) of this section shall be apportioned among the States so that the
poundage quota allocated to each State shall be equal to the percent-
age of the national poundage quota allocated to farms in the State for
1981.
"(2) Notwithstanding any other provision of this section—
"(A) Beginning with the 1982 marketing year, the reduction in
the poundage quota allocated to any State for any marketing
year below the poundage quota allocated to such State for the
immediately preceding marketing year (which poundage quota,
for the 1981 marketing year, shall be deemed to be the total of the
farm poundage quotas allocated to farms in the State for such
marketing year) shall, insofar as practicable and on such fair and
equitable basis as the Secretary may by regulation prescribe, be
accomplished by reducing the farm poundage quote for each
farm in the Stete to the extent that the farm poundage quote has
not been produced on such farm. For purposes of the foregoing
sentence, the farm poundage quote shall be considered as not
having been produced on a farm to the extent that (i) during any
crop year immediately preceding the crop year for which the
adjustment is being made, such quote was not actually produced
on the farm because there was inadequate tillable cropland
available on the farm to produce such quote; or (ii) during any
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1249
two of the three crop years immediately preceding the crop year
for which the adjustment is made, (I) such quota was not actually
produced for any other reason (other than natural disasters or
such other reasons as the Secretary may prescribe), or (II) such
quota was produced but by another operator on a farm to which
the poundage quota (or the acreage allotment upon which such
poundage quota was based) was transferred by lease. To achieve
the reduction in the State poundage quota in any marketing
year, the reductions in farm poundage quotas shall be made first
under clause (i) of the preceding sentence and, if necessary,
under clause (iiXD and then clause (iiXII) thereof.
"(B) If application of the provisions of subparagraph (A) of this
paragraph results in a total reduction of farm poundage quotas
that exceeds the reduction in the State poundage quota for the
marketing year, the reductions in the farm poundage quotas
shall be adjusted upward by the Secretary so that the total
reduction of farm poundage quotas equals the reduction in the
State poundage quota.
"(C) If application of the provisions of subparagraph (A) of this
paragraph results in a total reduction of farm poundage quotas
that is less than the reduction in the State poundage quota for
the marketing year, the balance of the reduction in the State
poundage quota shall be accomplished by such further reduction
in farm poundage quotas for farms in the State as the Secretary
determines to be fair and equitable,
"(m) (1) A farm poundage quota shall be established for each farm
which had an acreage allotment for the 1981 crop year. The farm
poundage quota for any such farm for the 1982 through 1985 market-
ing years shall be the same as the farm poundage quota for such farm
for the immediately preceding marketing year, as adjusted under
subsection (1) of tms section, but not including any increases for
undermarketings from previous marketing years, except that if the
farm poundage quota, or any part thereof, is permanently trans-
ferred in accordance with section 358a of this Act, the receiving farm 7 use I358a.
shall be considered as possessing the farm poundage quota (or portion
thereof) of the transferring farm for all subsequent marketing years.
"(2) The farm poundage quota so determined shall be increased by
the number of pounds by which total marketings of quota peanuts
from the farm during previous marketing years (excluding any
marketing year before the marketing year for the 1980 crop) were less
than the total amount of the applicable farm poundage quotas
(disregarding adjustments for undermarketings from prior market-
ing years) for such marketing years. Increases in farm poundage
quotas made under this paragraph shall not be counted against the
national poundage quota for the marketing year involved.
"(3) Notwithstanding the foregoing provisions of this subsection, if
the total of all increases in individual farm poundage quotas under
paragraph (2) of this subsection exceeds 10 per centum of the national
poundage quota for the marketing year in which such increases shall
be applicable, the Secretary shall adjust such increases so that the
total of all such increases does not exceed 10 per centum of the
national poundage quota.
"(n) For each farm for which a farm poundage quota was estab-
lished for the 1981 crop of peanuts, and when necessary for purposes
of this Act, a farm yield of peanuts shall be determined for each farm.
Such jdeld shall be equal to the average of the actual yield per acre on
the farm for each of the three crop years in which yields were highest
on the farm out of the five crop years 1973 through 1977. In the event
95 STAT. 1250 PUBLIC LAW 97-98—DEC. 22, 1981
that peanuts were not produced on the farm in at least three years
during such five-year period or there was a substantial change in the
operation of the farm during such period (including, but not limited
to, a change in operator, lessee who is an operator, or irrigation
practices), the Secretary shall have a jdeld appraised for the farm.
The appraised yield shall be that amount determined to be fair and
reasonable on the basis of jdelds established for similar farms which
are located in the area of the farm and on which peanuts were
produced, taking into consideration land, labor, and equipment
available for the production of peanuts, crop rotation practices, soil
and water, and other relevant factors.
Referendum. "(o) Not later than December 15 of each calendar year (or in the
case of the 1982 crop, as soon as practicable after enactment of the
Agriculture and Food Act of 1981), the Secretary shall conduct a
referendum of farmers engaged in the production of quota peanuts in
the calendar year in which the referendum is held to determine
whether such farmers are in favor of or opposed to poundage quoteis
with respect to the crops of peanuts produced in the four calendar
years immediately following the year in which the referendum is
held, except that, if as many as two-thirds of the farmers voting in
any referendum vote in favor of poundage quotas, no referendum
shall be held with respect to quotas for the second, third, and fourth
years of the period. The Secretary shall proclaim the result of the
referendum within 30 days after the date on which it is held, and if
more than one-third of the farmers voting in the referendum vote
against quotas, the Secretary also shall proclaim that poundage
quotas will not be in effect with respect to the crop of peanuts
produced in the calendar year immediately following the calendar
year in which the referendum is held. For purposes of this subsection,
if the referendum for the 1982 crop is held after December 31,1981, it
shall be deemed to have been held in calendar year 1981.
Definitions. "(p) For the purposes of this part and title I of the Agricultural Act
7 use 1441. of 1949—
"(1) 'quota peanuts' means, for any marketing year, any
peanuts produced on a farm having a farm poundage quota, as
determined in subsection (m) of this section, that are eligible for
domestic edible use as determined by the Secretary, that are
marketed or considered marketed from a farm, and that do not
exceed the farm poundage quota of such farm for such year;
"(2) 'additional peanuts' means, for any marketing year (A)
any peanuts that are marketed from a farm for which a farm
poundage quota has been established and that are in excess of the
marketings of quota peanuts from such farm for such year, and
(B) all peanuts marketed from a farm for which no farm pound-
age quota has been established in accordance with subsection (m)
of this section.
"(3) 'crushing' means the processing of peanuts to extract oil
for food uses and meal for feed uses, or the processing of peanuts
by crushing or processing into flakes or otherwise when author-
ized by the Secretary; and
"(4) 'domestic edible use' means use for milling to produce
domestic food peanuts (other than those described in paragraph
(3) of this subsection) and seed and use on a farm, except that the
Secretary may exempt from this definition seeds of peanuts that
are used to produce peanuts excluded under section 359(c) of this
7 use 1359. Act, are unique strains, and are not commercially available.".
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1251
SALE, LEASE, OR TRANSFER OF FARM POUNDAGE QUOTA
SEC. 703. Effective only for the 1982 through 1985 crops of peanuts,
section 358a of the Agricultural Adjustment Act of 1938 is amended 7 use i358a.
by adding at the end thereof new subsections as follows:
"(i) The owner, or the operator with permission of the owner, of
any farm for which a farm poundage quota has been established
under this Act may, subject to such terms, conditions or limita-
tions as the Secretary may prescribe, sell or lease all or any part
of such poundage quota to any other owner or operator of a farm
within the same county for transfer to such farm. The owner or
operator of a farm may transfer all or any part of such farm's
farm poundage quota to any other farm owned or controlled by
such owner or operator that is in the same county or in a county
contiguous to such county in the same State and that had a farm
poundage quota for the 1981 crop. Notwithstanding the foregoing
provisions of this subsection, in the case of any State for which
the poundage quote allocated to the Stete was less than 10,000
tons for the 1981 crop, all or any part of a farm poundage quota
may be transferred by sale or lease or otherwise from a farm in
one county to a farm in another county in the same State,
"(j) Transfers (including transfer by sale or lease) of farm
poundage quotas under this section shall be subject to the
following conditions: (1) no transfer of the farm poundage quota
from a farm subiect to a mortgage or other lien shall be
permitted unless the transfer is agreed to by the lienholders; (2)
no transfer of the farm poundage quote shall be permitted if the
county committee esteblished under section 8(b) of the Soil
Conservation and Domestic Allotment Act determines that the 16 use 590h.
receiving farm does not have adequate tillable cropland to
produce the farm poundage quote; (3) no transfer of the farm
poundage quote shall be effective until a record thereof is filed
with the county committee of the county to which such transfer
is made and such committee determines that the transfer com-
plies with the provisions of this section; and (4) such other terms
and conditions that the Secretery may by regulation prescribe.".
MARKETING PENALTIES; DISPOSITION OF ADDITIONAL PEANUTS
SEC. 704. Effective only for the 1982 through 1985 crops of peanuts,
section 359 of the Agricultural Adjustment Act of 1938 is amended by 7 use 1359.
adding at the end thereof new subsections as follows:
"(f)(1) The marketing of any peanuts for domestic edible use in
excess of the farm poundage quote for the farm on which such
peanuts are produced shall be subject to penalty at a rate equal
to 140 per centum of the support price for quote peanuts for the
marketing year (August 1 through July 31) in which such
marketing occurs. The marketing of any additional peanute from
a farm shall be subject to the same penalty unless such peanuts,
in accordance with r^ulations esteblished by the Secretary, are
either (A) placed under loan at the additional loan rate in effect
for such peanute under section 108A of the Agricultural Act of
1949 and not redeemed by the producers, (B) marketed through Post, p. 1254.
an area marketing association designated pursuant to section
108A(3XA) of the Agricultural Act of 1949, or (C) marketed under
contracte between handlers and producers, pursuant to the
provisions of subsection (j) of this section. Such penalty shall be
paid by the person who buys or otherwise acquires the peanute
95 STAT. 1252 PUBLIC LAW 97-98—DEC. 22, 1981
from the producer, or if the peanuts are marketed by the
producer through an agent, the penalty shall be paid by such
agent, and such person or agent may deduct an amount equiva-
lent to the penalty from the price paid to the producer. If the
person required to collect the penalty fails to collect such
penalty, such person and all persons entitled to share in the
peanuts marketed from the farm or the proceeds thereof shall be
jointly and severally liable for the amount of the penalty.
Peanuts produced in a calendar year in which farm poundage
quotas are in effect for the marketing year beginning therein
shall be subject to such quotas even though the peanuts are
marketed prior to the date on which such marketing year begins.
If any producer falsely identifies or fails to certify planted acres
or fails to account for the disposition of any pesmuts produced on
such planted acres, an amount of peanuts equal to the farm's
Ante, p. 1248. average yield, as determined under section 358(n) of this Act,
times the planted acres, shall be deemed to have been marketed
in violation of permissible uses of quota and additional peanuts
and the penalty in respect thereof shall be paid and remitted by
the producer.
Regulations. "(2) The Secretary shall authorize, under such regulations as
the Secretary shall prescribe, the county committees established
under section 8(b) of the Soil Conservation and Domestic Allot-
16 use 590h. ment Act to waive or reduce marketing penalties provided for
under this subsection in cases in which such committees deter-
mine that the violations that were the basis of the penalties were
unintentional or without knowledge on the part of the parties
concerned. Errors in weight that do not exceed one-tenth of 1 per
centum in the C£ise of any one marketing document shall not be
considered marketing violations except in cases of fraud or
conspiracy.
"(g) Only quota peanuts may be retained for use as seed or for
other uses on a farm and when so retained shall be considered as
marketings of quota peanuts, except that the Secretary may
exempt from consideration as marketings of quota peanuts seeds
of peanuts that are used to produce peanuts excluded under
7 use 1359. section 359(c), are unique strains, and are not commercially
available. Additional peanuts shall not be retained for use on a
farm and shall not be marketed for domestic edible use, except as
provided in subsection (k) of this section. Seed for planting of any
peanut acreage in the United States shall be obtained solely from
quota peanute marketed or considered marketed for domestic
edible use.
''(h) Upon a finding by the Secretary that the peanuts mar-
keted from any crop for domestic edible use by a handler are
larger in quantity or higher in grade or quality than the peanuts
that could reasonably be produced from the quantity of peanuts
having the grade, kernel content, and quality of the quota
peanuts acquired by such handler from such crop for such
marketing, such hemdler shall be subject to a penalty equal to
120 per centum of the loan level for quota peanuts on the
quantity of peanuts that the Secretary determines are in excess
of the quantity, grade, or quality of the peanuts that could
reasonably have been produced from the peanuts so acquired.
"(i) The Secretary shall require that the handling and disposal
of additional peanuts be supervised by agents of the Secretary or
by area marketing associations designated pursuant to section
Post, p. 1254. 108A(3XA) of the Agricultural Act of 1949. Quota and additional
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1253
peanuts of like tjrpe and segregation or quality may, under
regulations prescribed by the Secretary, be commingled and
exchanged on a dollar value basis to facilitate warehousing,
handling, and marketing. Failure by a handler to comply with
regulations issued by the Secretary governing the disposition and
handling of additional peanuts shall subject the handler to a
penalty at a rate equal to 120 per centum of the loan level for
quota peanuts on the quantity of peanuts involved in the viola-
tion.
"(j) Handlers may, under regulations prescribed by the Secre-
tary, contract with producers for the purchase of additional
peanuts for crushing, export, or both. All such contracts shall be
completed and submitted to the Secretary (or if designated by the
Secretary, the area marketing association) for approval prior to
April 15 of the year in which the crop is produced.
"(k) Subject to the provisions of section 407 of the Agricultural
Act of 1949, any peanuts owned or controlled by the Commodity 7 use 1427.
Credit Corporation may be made available for domestic edible
use in accordance with regulations established by the Secretary.
Additional peanuts received under loan shall be offered for sale
for domestic edible use at prices not less than those required to
cover all costs incurred with respect to such peanuts for such
items as inspection, warehousing, shrinkage, and other expenses,
plus (1) not less than 100 per centum of the loan value of quota
peanuts if the additional peanuts are sold and paid for during the
harvest season upon delivery by and with the written consent of
the producer, (2) not less than 105 per centum of the loan value of
quota peanuts if the additional peanuts are sold after delivery by
the producer by not later than December 31 of the marketing
year, or (3) not less than 107 per centum of the loan value of quota
peanuts if the additional peanuts are sold later than December
31 of the marketing year. For the period from the date additional
peanuts are delivered for loan to March 1 of the calendar year
following the year in which such additional peanuts were har-
vested, the area marketing association designated pursuant to
section 108A(3XA) of the Agricultural Act of 1949 shall have sole Post, p. 1254.
authority to accept or reject lot list bids when the sales price as
determined under this section equals or exceeds the minimum
price at which the Commodity Credit Corporation may sell its
stocks of additional peanuts, except that the area marketing
association and the Commodity Credit Corporation may agree to
modify the authority granted by this sentence in order to
facilitate the orderly marketing of additional peanuts.
"(IXD The person liable for pa3rment or collection of any
penalty provided for in this section shall be liable also for
interest thereon at a rate per annum equal to the rate of interest
which was charged the Commodity Credit Corporation by the
Treasury of the United States on the date such penalty became
due.
"(2) The provisions of this section shall not apply to peanuts
produced on any farm on which the acreage harvested for nuts is
one acre or less if the producers who share in the peanuts
produced on such farm do not share in the peanuts produced on
any other farm.
(3) Until the amount of the penalty provided by this section is
paid, a lien on the crop of peanuts with respect to which such
penalty is incurred, and on any subsequent crop of peanuts
subject to farm poundage quotas in which the person liable for
95 STAT. 1254 PUBLIC LAW 97-98—DEC. 22, 1981
payment of the penalty has an interest, shall be in effect in favor
of the United States.
"(4) Notwithstanding any other provision of law, the liability
for and the amount of any penalty assessed under this section
shall be determined in accordance with such procedures as the
Secretary by regulations may prescribe. The facts constituting
the basis for determining the liability for or amount of any
penalty assessed under this section, when officially determined
in conformity with the applicable regulations prescribed by the
Secretary, shall be final and conclusive and shsdl not be reviewa-
ble by any other officer or agency of the Government. Nothing in
this section shall be construed as prohibiting any court of
competent jurisdiction from reviewing any determination made
by the Secretary with respect to whether such determination
was made in conformity with the applicable law and regulations.
All penalties imposed under this section shall for all purposes be
considered civil penalties.
"(5) Notwithstanding any other provision of law, the Secretary
-may reduce the amount of any penalty assessed against handlers
under this section if the Secretary finds that the violation upon
which the penalty is based was minor or inadvertent, and that
the reduction of the penalty will not impair the operation of the
peanut program.".
PRICE SUPPORT PROGRAM
SEC. 705. Effective only for the 1982 through 1985 crops of peanuts,
the Agricultural Act of 1949 is amended by adding a new section as
follows:
" P R I C E SUPPORT FOR 1982 THROUGH 1985 CROPS OP PEANUTS
7 use 1445C-1. "SEC. 108A. Notwithstanding any other provision of law—
"(1) The Secretary shall make price support available to produc-
ers through loans, purchases, or other operations on quota
peanuts for each of the 1982 through 1985 crops. The national
average quota support rate for the 1982 crop of quota peanuts
shall be the national average cost of production, including the
cost of land on a current value basis, for such crop, as estimated
by the Secretary, but in no event less than 27.5 cents per pound,
farmers stock basis. The national average quota support rate for
each of the 1983,1984, and 1985 crops of quota peanuts shall be
the national average quota support rate for such peanuts for the
preceding crop, adjusted to reflect £iny increase, during the
period January 1 and ending December 31 of the calendar year
immediately preceding the marketing year for the crop for which
a level of support is being determined, in the national average
cost of peanut production, excluding any increase in the cost of
land, except that in no event shall the national average quota
support rate for any such crop exceed by more than 6 per centum
the national average quota support rate for the preceding crop.
The levels of support so announced shall not be reduced by any
deductions for inspection, handling, or storage: Provided, That
the Secretary may make ac^ustmente for location of peanuts and
7 use 1423. such other factors as are authorized by section 403 of this Act.
"(2) The Secretary shall make price support available to produc-
ers through loans, purchases, or other operations on additional
peanuts for each of the 1982 through 1985 crops at such levels as
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1255
the Secretary finds appropriate, taking into consideration the
demand for peanut oil and peanut meal, expected prices of other
vegetable oils and protein meals, and the demand for peanuts in
foreign markets: Provided, That the Secretary shall set the
support rate on additional peanuts at a level estimated by the
Secretary to ensure that there are no losses to the Commodity
Credit Corporation on the sale or disposal of such peanuts. The
Secretary shall announce the level of support for additional
peanuts of each crop not later than February 15 preceding the
marketing year for the crop for which the level of support is
being determined.
"(3)(A) In carr5dng out paragraphs (1) and (2) of this section, the
Secretary shall make warehouse storage loans available in each
of the three producing areas (described in 7 CFR 1446.10 (1980
ed/)) to a designated area marketing association of peanut pro-
ducers that is selected and approved by the Secretary and that is
operated primarily for the purpose of conducting such loan
activities. The Secretary may not make warehouse storage loans
available to any cooperative that is engaged in operations or
activities concerning peanuts other than those operations and
activities specified in this section and in section 359 of the
Agricultural Adjustment Act of 1938. Such area marketing 7 use 1359.
associations shall be used in administrative and supervisory
activities relating to price support and marketing activities
under this section and section 359 of the Agricultural Adjust-
ment Act of 1938. Loans made under this subparagraph shall
include, in addition to the price support value of the peanuts,
such costs as the area marketing association reasonably may
incur in carrying out its responsibilities, operations, and activi-
ties under this section and section 359 of the Agricultural
Adjustment Act of 1938.
"(B) The Secretary shall require that each area marketing
association establish pools and maintsdn complete and accurate
records by tjrpe, area, and segregation for quota peanuts handled
under loan, for additional peanuts placed under loan, and for
additional peanuts produced without a contract between a han-
dler and a producer as described in section 359(j) of the Agricul-
tural Adjustment Act of 1938. Net gains on peanuts in each pool, Ante, p. 1251.
unless otherwise approved by the Secretary, shall be distributed
in proportion to the value of the peanuts placed in the pool by
each producer. Net gains for peanuts in each pool shall consist of
(i) for quota peanuts, the net gains over and above the loan indebt-
edness and other costs or losses incurred on peanuts placed in such
pool plus an amount from the pool for additional peanuts to the
extent of the net gains from the sale for domestic food and
related uses of additional peanuts in the pool for additional
peanuts equal to any loss on disposition of all peanuts in the pool
for quota peanuts and (ii) for additional peanuts, the net gains
over and above the loan indebtedness and other costs or losses
incurred on peanuts placed in the pool for additional peanuts less
any amount allocated to offset any loss on the pool for quota
peanuts as provided in clause (i) of this subparagraph. Notwith-
standing any other provision of this section, any distribution of
net gains on additional peanuts of any tjrpe to any producer shall
be reduced to the extent of any loss by the Commodity Credit
Corporation on quota peanuts of a different t3T)e placed under
loan by such producer.
-194 O—82 81 : QU
95 STAT. 1256 PUBLIC LAW 97-98—DEC. 22, 1981
"(4) Notwithstanding the foregoing provisions of this section or
any other provision of law, no price support shall be made
available by the Secretary for any crop of peanuts with respect to
which poundage quotas have been disapproved by producers, as
provided for in section 358(o) of the Agricultural Adjustment Act
Ante, p. 1248. of 1938.'*.
REPORTS AND RECORDS
SEC. 706. Effective only for the 1982 through 1985 crops of peanuts,
the first sentence of section 373(a) of the Agricultural A(^ustment Act
7 u s e 1373. of 1938 is amended by inserting immediately before "all brokers and
dealers in peanuts the following: "all farmers engaged in flie
production of peanuts,".
SUSPENSION OF CERTAIN PRICE SUPPORT PROVISIONS
7 use 1441 note. SEC. 707. Section 101 of the Agricultural Act of 1949 shall not be
7 use 1441. applicable to the 1982 through 1985 crops of peanuts.
TITLE Vm—SOYBEANS
SOYBEAN PRICE SUPPORT
SEC. 801. Effective only for the 1982 through 1985 crops of soybeans,
7 use 1446. section 201 of the Agricmtural Act of 1949 is amended by—
(1) inserting in the first sentence "soybeans," after "tung
nuts,"; and
(2) adding at the end thereof a new subsection as follows:
"(gKl) The price of soybeans shall be supported through loans and
purchases during each of the four marketing years b^inning with
the 1982 marketing year at a level equal to 75 per centum of the
simple average price received by farmers for soybeans for each of the
preceding five marketing years, excluding the high and low vsdued
years, except that in no event shall the Secretary establish a support
price of less than $5.02 per bushel: Provided, That if the Secretary
determines that the average price of soybeans received by producers
in any marketing year is not more than 105 per centum of the level of
loans and purchases for soybeans for such marketing year, the
Secretary may reduce the level of loans and purchases for soybeans
for the next marketing year by the amount the Secretaiy determines
necessary to maintain domestic and export markets for soybeans,
except that the level of loans and purchases shall not be reduced by
more than 10 per centum in any year nor below $4.50 per bushel. For
the purposes of this subsection, the soybean marketing year shaU be
the twelve-month period beginning on September 1 and ending
August 31. The Secretary shall make a preliminary announcement of
the level of price support not earlier than thirty days in advance of
the b^;inning of the marketing year based upon the latest informa-
tion and statistics available when such level of price support is
announced, and shall make a final announcement of such level as
soon as full information and statistics are available on prices for the
five vears preceding the b^^inning of the marketing year. In no event
shall such final level of support be annoimced later than October 1 of
the marketing year for wmch the announcement applies; nor shall
the final level of support be less than the level of support set forth in
the preliminary announcement.
"(2) Notwithstanding any other provision of law—
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1257
"(A) the Secretary shall not require participation in any
production adjustment control program for soybeans or any
other commodity as a condition of eligibility for price support for
soybeans; and
"(B) soybeans shall not be considered an eligible commodity for
any reserve program, and the Secretary shall not authorize
payments to producers to cover the cost of storing soybeans.".
TITLE DC—SUGAR
SUGAR PRICE SUPPORT
SEC. 901. Effective only for the 1982 through 1985 crops of sugar
beets and sugarcane, section 201 of the Agricultural Act of 1949 is 7 use 1446.
amended by—
(1) striking out in the first sentence "honey, and milk" and
inserting in lieu thereof "honey, milk, sugar beets, and sugar-
cane"; and
(2) adding at the end thereof a new subsection as follows:
"(h) The price of each of the 1982 through 1985 crops of sugar beets
and sugarcane, respectively, shall be supported in the manner speci-
fied below:
"(1) Effective with respect to sugar processed from domes-
tically grown sugar beets and sugarcane beginning with the date
of enactment of this subsection through March 31, 1982, the
Secretary shall, through purchases of the processed products
thereof, support the price of sugarcane at such level as the
Secretary determines appropriate to approximate a raw sugar
price of 16.75 cents per pound, and the price of sugar beets at
such level as the Secretaiy determines to be fair and reasonable
in relation to the support level for sugarcane.
"(2) Effective October 1,1982, the Secretary shall support the
price of domestically grown sugarcane through nonrecourse
loans at such level as the Secretcuy determines appropriate but
not less than 17 cents per pound for raw cane sugar for the 1982
crop, 17.5 cents per pound for the 1983 crop, 17.75 cents per
aund for the 1984 crop, and 18 cents per pound for the 1985 crop,
E ffective October 1,1982, the Secretcuy shall support the price of
domestically grown sugar beets through nonrecourse loans at
such level as the Secretary determines to be fair and reasonable
in relation to the level of loans for sugarcane. The Secretary shall
announce the loan rate to be applicable during any fiscal year as
far in advance of the b^inning of that fiscal year as practicable
consistent with the purposes of this subsection. Loan&during any
such fiscal year shall be made available not earlier than the
beginning of the fiscal year and shall mature before the end of
that fiscal year.".
TITLE X-GRAIN RESERVES AND NATIONAL AGRICUL-
TURAL COST OF PRODUCTION STANDARDS REVIEW
BOARD
Subtitle A—Grain Reserves
PRODUCER RESERVE PROGRAM FOR WHEAT AND FEED GRAINS
SEC. 1001. Effective beginning with the 1982 crops, section 110 of
the Agricultural Act of 1949 is amended to read as follows: 7 use i445e.
95 STAT. 1258 PUBLIC LAW 97-98—DEC. 22, 1981
PRODUCER RESERVE PROGRAM FOR WHEAT AND FEED GRAINS
"SEC. 110. (a) The Secretary shall formulate and administer a
program under which producers of wheat and feed grains will be able
to store wheat and feed grains when such commodities are in
abundant supply and extend the time period for their orderly
marketing. The Secretary shall establish safeguards to assure that
wheat and feed grains held under the program shall not be utilized in
any manner to unduly depress, manipulate, or curtail the free
market. The authority provided by this section shall be in addition to
other authorities available to the Secretary for carrying out producer
loan and storage operations.
"(b) In carrsdng out the producer storage program, the Secretary
shall provide original or extended price support loans for wheat and
feed grains under terms and conditions designed to encourage pro-
ducers to store wheat and feed grains for extended periods of time in
order to promote orderly marketing when wheat or feed grains are in
abundant supply. Loans made under this section shall be made at
such level of support as the Secretary determines appropriate, except
that the loan rate shall not be less than the then current level of
support under the wheat and feed grain programs established under
this title. Among such other terms and conditions as the Secretary
may prescribe by regulation, the program may provide for (1) repay-
ment of such loans in not less than three years nor more than five
years; (2) payments to producers for storage in such amounts and
under such conditions as the Secretary determines appropriate to
encourage producers to participate in the program; (3) a rate of
interest £is determined under subsection (c) of this section; (4> recov-
ery of amounts paid for storage, and for the payment of additional
interest or other charges if such loans are repaid by producers before
the market price for wheat or feed grains has reached the price levels
determined under clause (5) of this sentence; and (5) conditions
designed to induce producers to redeem and market the wheat or feed
grains securing such loans without regard to the maturity dates
thereof whenever the Secretary determines that the market price for
the commodity has attained a specified level, as determined by the
Secretary.
"(c) The rate of interest charged participants in the program
authorized by this section shall be not less than the rate of interest
charged the Commodity Credit Corporation by the United States
Treasury, except that the Secretary may waive or adjust such
interest as the Secretary deems appropriate to effectuate the pur-
poses of this section. The Secretary may increase the applicable rate
of interest in such amounts and at such intervals as the Secretary
determines is appropriate to encourage the orderly marketing of
wheat and feed grains securing loans made under this section after
the market price for the commodity has attained the level deter-
mined under clause (5) of the third sentence of subsection (b) of this
section.
Emergency "(d) Notwithstanding any other provision of law, the Secretary may
conditions. require producers to repay loans under this section plus accrued
Report to interest and such other charges as may be required by regulation
President and
congressional prior to the maturity date thereof if the Secretary determines that
committees. emergency conditions exist which require that such commodity be
made available in the market to meet urgent domestic or internation-
al needs and the Secretary reports such determination and the
reasons therefor to the President, the Committee on Agriculture,
Nutrition, and Forestry of the Senate, and the Committee on Agricul-
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1259
ture of the House of Representatives at least fourteen days before
taking such action.
"(e) The Secretary shall announce the terms and conditions of the
producer storage program as far in advance of making loans as
practicable. In such announcement, the Secretary shall specify the
quantity of wheat or feed grains to be stored under the program
which the Secretary determines appropriate to promote the orderly
marketing of such commodities. The Secretary may place an upper
limit on the amount of wheat £md feed grains placed in the reserve,
but such upper limit may not be less than seven hundred million
bushels for wheat and one billion bushels for feed grains.
"(f) Notwithstanding any other provision of law, except as other-
wise provided under section 302 of the Food Security Wheat Reserve
Act of 1980 and section 208 of the Agricultural Trade Suspension 7 use I736f-i.
Adjustment Act of 1980, whenever the program authorized by this 7 use 400i.
section is in effect, the Commodity Credit Corporation may not sell
any of its stocks of wheat or feed grains at less than 110 per centum of
the then current price level at which the Secretary may encourage
repayment of producer storage loems with respect to the commodity
prior to the maturity dates of such loans, as determined under clause
(5) of the third sentence of subsection Qoi) of this section. The foregoing
restriction shall not apply to—
"(1) sales of such commodities which have substantially dete-
riorated in quality or as to which there is a danger of loss or
waste through deterioration or spoilage;
"(2) sales or other disposals of such commodities under (A) the
fifth and sixth sentences of section 407 of this Act; (B) the Act of 7 use 1427.
September 21,1959 (7 U.S.C. 1427 note); and (C) section 813 of the
Agricultural Act of 1970; and 7 use I427a.
"(3) sales of corn for use in the production of alcohol for motor
fuel at facilities that—
"(A) began operation after January 4,1980, and
"(B) whenever supplies of corn are not readily available,
can produce alcohol from agricultural or forestry biomass
feedstocks other than corn,
when sold at not less than the price at which producers may
repay producer storage loans and redeem corn prior to the
maturity dates of loans, as determined under clause (5) of the
third sentence of subsection (b) of this section, or, whenever the
fuel conversion price (as defined in section 212 of the Agricultur-
al Trade Suspension Adjustment Act of 1980) for com exceeds 7 use 4005.
such price, at not less than the fuel conversion price.
"(g) The Secretary may, with the concurrence of the owner of grain
stored under the program authorized by this section, reconcentrate
all such grain stored in commercial warehouses at such points as the
Secretary deems to be in the public interest, taking into account such
factors as transportation and normal marketing patterns. The Secre-
tary shgQl permit rotation of stocks and facilitate maintenance of
quality under regulations which assure that the holding producer or
warehouseman shall, at all times, have available for delivery at the
designated place of storage both the quantity and quality of grain
covered by the producer's or warehouseman's commitment.
"(h) Whenever grain is stored under the provisions of this section,
the Secretary may buy and sell at an equivalent price, allowing for
the customary location and grade differentials, substantially equiva-
lent quantities of grain in different locations or warehouses to the
extent needed to properly handle, rotate, distribute, and locate such
commodities which the Commodity Credit Corporation owns or con-
95 STAT. 1260 PUBLIC LAW 97-98—DEC. 22, 1981
trols. Such purchases to offset sales shall be made within two market
days following the sales. The Secretary shall make a daily list
available showing the price, location, and quantity of the transac-
tions.
"(i) The Secretary shall use the Commodity Credit Corporation, to
the extent feasible, to fulfill the purposes of this section. To the
maximum extent practicable consistent with the fulfillment of the
purposes of this section and the effective and efficient administration
of this section, the Secretary shall utilize the usual and customarv
channels, facilities, and arrangements of trade and commerce. .
FORGIVENESS OF VIOLATIONS
SEC. 1002. The Agricultural Act of 1949 is amended by adding at the
end thereof a new section £is follows:
"FORGIVENESS OF VIOLATIONS
7 use 1433a. "SEC. 422. Notwithstanding any other provision of law, whenever a
producer samples, turns, moves, or replaces grain or any other
commodity which is security for a Commodity Credit Corporation
producer loan or is held under a producer reserve program, and does
so in violation of law or regulation, the appropriate county committee
established under section 80?) of the Soil Conservation and Domestic
16 use 590h. Allotment Act may forgive some or all of the penalties and require-
ments that would normally be imposed on the producer by reason of
the violation, if such committee determines that (1) the violation
occurred inadvertently or accidentally, because of lack of knowledge
or understanding of the law or regulation, or because the producer or
the producer's agent acted to prevent spoilage of the commodity, and
(2) the violation did not result in harm or damage to the rights or
interests of any person. The county committee shall furnish a copy of
its determination to the Administrator of the Agricultural Stabiliza-
tion and Conservation Service and the appropriate State committee
established under section 8(b) of the Soil Conservation and Domestic
Allotment Act. The determination may be disapproved by either the
Administrator or the State committee within sixty days after receipt
of a copy of the determination. Any determination not disapproved by
the Administrator or such State committee within such sixty-day
period shall be considered approved.".
DISASTER RESERVE
SEC. 1003. Section 813 of the Agricultural Act of 1970 (7 U.S.C.
1427a) is amended by striking out "shall" wherever it appears in
subsections (a) and (b) of that section and inserting in lieu thereof
"may".
CONFORMING AMENDMENT
SEC. 1004. Section 208 of the Agricultural Trade Suspension Adjust-
7 use 4001. ment Act of 1980 is amended by—•
(1) striking out "second and inserting in lieu thereof "third"
in subsection (cX2XA); and
(2) amending clause (i) of subsection (c)(2)(B) to read as follows:
"(i) if there is a producer storage program in effect for the
commodity, at not less than 110 per centum of the then
current price level at which the Secretary may encourage
repajnnent of producer storage loans on the commodity prior
to the maturity dates of the loans, as determined under
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1261
clause (5) of the third sentence of section 110(b) of the
Agricultural Act of 1949, or". Ante, p. 1257.
Subtitle B—National Agricultural Cost of Production
Standards Review Board
ESTABUSHMENT OF BOARD
SEC. 1005. There is hereby established an advisory board to be 7 use 4ioi.
known as the National Agricultural Cost of Production Standards
Review Board (hereafter in this subtitle referred to as the "Board").
MEMBERSHIP OF BOARD
SEC. 1006. (a) The Board shall be composed of eleven members 7 use 4102.
appointed by the Secretary of Agriculture (hereafter in this subtitle
referred to as the "Secretary") as follows:
(1) seven members who are engaged in the commercial produc-
tion of one or more of the various mcgor agricultural commodities
produced in the United States. The Secretary shall assure that
the major geographical production areas of the megor agricultur-
al commodities are represented;
(2) three members who, by virtue of their education, training,
or experience, have extensive knowledge of the costs associated
with the production of the msgor agricultural commodities; these
members may be drawn from the fields of agricultural econom-
ics, banking, finance, accounting, or related areas; and
(3) one member who is an employee of the Department of
Agriculture (hereafter referred to m this subtitle as the "Depart-
ment"), who shall serve at the pleasure of the Secretary, and who
shall advise and inform the Boisird as to the methodology used by
the Department in making its cost of production calculations.
(b) The terms of the initial Board members shall expire (as
designated by the Secretary at the time of appointment) as follows:
two at the end of the first year, two at the end of the second year,
three at the end of the third year, and three at the end of the fourth
year. Thereafter, the terms of all members, with the exception of the
member provided for in subsection (aX3) of this section, shall be four
years, except that any person appointed to fill a vacancy on the Board
shall be appointed only for the unexpired term of such person's
predecessor.
(c) With the exception of the member provided for in subsection
(a)(3) of this section, no person may serve as a member of the Board
for more than two terms.
(d) The Secretary shall designate one member of the Board to serve
as Qiairman and one member to serve as Vice Chairman, respective-
ly, each of which shall serve as such until his or her respective term
expires. The Boeird member provided for in subsection (aXS) of this
section may not serve as Chairman or Vice (ISiairman.
FUNCTIONS OF BOARD
SEC. 1007. The Board shall— 7 use 4103.
(1) review the adeauacy, accuracy, and timeliness of the cost-of-
production methodology used by the Department in determining
specific cost of production estimates;
(2) advise the Secretary as to whether the cost of production
methodology used by the Department in connection with the
95 STAT. 1262 PUBLIC LAW 97-98—DEC. 22, 1981
administration of its price support programs accurately and
fairly represents the costs of production incurred by producers;
(3) review the adequacy of the parity formulae;
(4) advise the Secretary on such other matters dealing with the
cost of production of agricultural commodities and price support
operations as the Secretary may request; and
(5) make such recommendations to the Secretary as the Board
deems appropriate, including ways in which the cost of produc-
tion methodology and parity formulae can be improved.
BOARD MEETINGS
7 use 4104. SEC. 1008. The Board shall meet twice annually, or more
frequently, if necessary, for the purpose of carrying out its functions.
RECOMMENDATIONS TO SECRETARY
7 use 4105. SEC 1009. From time to time, as necessary, the Board shall make
written findings and recommendations to the Secretary. The Secre-
tary shall report to the Board on the disposition of these recommen-
dations, including the Secretary's reasons for declining to accept the
Board's recommendations, if such declinations are made. The Secre-
tary shall make such reports no later than one hundred and twenty
days after the written submission of such recommendations.
REPORTS
7 use 4106. SEC. 1010. Within ninety days after the close of each calendar year
and immediately prior to the Board's expiration, the Board shall
submit a written report to the Secretary, the Senate Committee on
Agriculture, Nutrition, and Forestry, and the House Committee on
Agriculture. This report shall outline the activities undertaken by
the Board since its inception or last annual report and shall include
any findings and recommendations made to the Secretary during the
reporting period.
SUPPORT SERVICES
7 use 4107. SEC 1011. The Secretary shall provide such staff personnel, clerical
assistance, services, materials, and office space as are essential to
assist the Board in carrjdng out its duties.
COMPENSATION
7 use 4108. SEC 1012. The members of the Boardshall serve without compensa-
tion, if not otherwise officers or employees of the United States,
except that they shall, while away from their homes or regular places
of business in the performance of services for the Board, be allowed
travel expenses, including per diem in lieu of subsistence, in the same
manner as persons employed intermittently in the Government
service are allowed expenses under sections 5701 through 5707 of title
5, United States Code.
AUTHORIZATION FOR APPROPRIATIONS
7 use 4109. SEC 1013. There are authorized to be appropriated such sums as
may be necessary to carry out the provisions of this subtitle.
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1263
TERMINATION
SEC. 1014. The Board established in this subtitle shall cease to exist 7 use 4iio.
on September 30,1985.
TITLE XI—MISCELLANEOUS
Subtitle A—Miscellaneous Commodity Provisions
PAYMENT LIMITATIONS FOR WHEAT, PEED GRAINS, UPLAND COTTON,
AND RICE
SEC. 1101. Notwithstanding any other provision of law— 7 use 1308.
(1) TTie total amount of payments (excluding disaster pay-
ments) that a person shall be entitled to receive under one or
more of the annual programs established under the Agricultural
Act of 1949 for wheat, feed grains, upland cotton, and rice shall 7 use i42i note.
not exceed $50,000 for each of the 1982 through 1985 crops.
(2) The total amount of disaster payments that a person shall
be entitled to receive under one or more of the annual programs
established under the Agricultural Act of 1949 for wheat, feed
grains, upland cotton, and rice shall not exceed $100,000 for each
of the 1982 through 1985 crops.
(3) The term payments as used in this section shall not "Payments.
include loans or purchases, or any part of any payment that is
determined by the Secretary of Agriculture to represent compen-
sation for resource adjustment (excluding land diversion pay-
ments) or public access for recreation.
(4) If the Secretary determines that the total amount of
payments that will be earned by any person under the program
m effect for any crop will be reduced under this section, any
acreage requirement established under a set-aside or acreage
limitation program for the farm or farms on which such person
will be sharing in payments earned under such program shall be
adjusted to such extent and in such manner as the Secretary
determines will be fair and reasonable in relation to the amount
of the pajmient reduction.
(5) The Secretary shall issue regulations defining the term Regulations.
"person" and prescribing such rules as the Secretary determines
necessary to assure a fair and reasonable application of such
limitation: Provided, That the provisions of this section that limit
payments to any person shall not be applicable to lands owned by
States, political subdivisions, or agencies thereof, so long as such
lands are farmed primarily in the direct furtherance of a public
function, as determined by the Secretary. The rules for determin-
ing whether corporations and their stockholders may be consid-
ered as separate persons shall be in accordance with the regula-
tions issued by the Secretary on December 18,1970, under section
101 of the Agricultural Act of 1970. 7 use 1307.
FINALITY OF DETERMINATIONS
SEC. 1102. The first sentence of section 385 of the Agricultural
Adjustment Act of 1938 is amended to read as follows: The facts 7 use 1385.
constituting the basis for any Soil Conservation Act payment, any
payment under the wheat, feed grain, upland cotton, and rice
programs authorized by the Agricidtur£d Act of 1949 and t h ^ Act,
any loan, or price support operation, or the amount thereof, when
95 STAT. 1264 PUBLIC LAW 97-98—DEC. 22, 1981
officially determined in conformity with the applicable regulations
prescribed by the Secretary or by the Commodity Credit Corporation,
shall be final and conclusive and shall not be reviewable by any other
officer or agency of the Government.".
COMMODITY CREDIT CORPORATION SALES PRICE RESTRICTIONS FOR
WHEAT AND FEED GRAINS
f SEC. 1103. Effective only for the marketing years for the 1982
7 use 1427. through 1985 crops, section 407 of the Agricultural Act of 1949 is
amended by—
(1) striking out in the third sentence the language following
the third colon and inserting in lieu thereof the following:
"Provided, That the Corporation shall not sell any of its stocks of
wheat, com, grain sorghum, barley, oats, and ^ e , respectively, at
less than 115 per centum of the current national average loan
rate for the commodity, adjusted for such current market differ-
entials reflecting grade, quality, location, and other value factors
as the Secretary determines appropriate plus reasonable carry-
ing charges.";
(2) stiiking out in the fifth sentence "current basic county
support rate including the value of any applicable price-support
payment in kind (or a comparable price if there is no current
basic county support rate) and inserting in lieu thereof the
following: "current basic county loan rate (or a comparable price
if there is no current basic county loan rate)"; and
(3) striking out in the seventh sentence ", but in ho event shall
the purchase price exceed the then current support price for such
commodities and inserting in lieu thereof the following: "or
unduly affecting market prices, but in no event shall the pur-
chase price exceed the Corporation's minimum sales price for
such commodities for unrestricted use".
APPUCATION OF TERMS IN THE AGRICULTURAL ACT OF 1949
SEC. 1104. Effective only for the 1982 through 1985 crops of wheat,
feed grains, upland cotton, and rice, section 408(k) of the Agricultural
7 use 1428. Act of 1949 is amended to read as follows:
" R E F E R E N C E S TO TERMS MADE APPLICABLE TO WHEAT, FEED GRAINS,
UPLAND COTTON, AND RICE
7 use 1422, "(k) Reference made in sections 402, 403, 406, 407, and 416 to the
1423,1426,1427, torms 'support price*, 'level of support', and 'level of price support'
^^^^ shall be considered to apply as well to the level of loans and purchases
for wheat, feed grains, upland cotton, and rice under this Act; and
references made to the terms 'price support', 'price support oper-
ations', and 'price support program' in such sections and in section
7 use 1421. 401(a) shall be considered as applying as well to the loan and
purchase operations for wheat, feed grains, upland cotton, and rice
under this Act.".
SUPPLEMENTAL SET-ASIDE AND ACREAGE UMITATION AUTHORITY
SEC. 1106. Effective for the 1982 through 1985 crops of wheat and
7 use I445h. feed grains, section 113 of the Agricultural Act of 1949 is amended to
read as follows:
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1265
"SUPPLEMENTAL SET-ASIDE AND ACREAGE UMITATION AUTHORITY
"SEC. 113. Notwithstanding any other provision of law or prior
announcement made by the Secretary to the contrary, the Secretary
may announce and provide for a set-aside or acreage limitation
program under section 105B(e) or 107B(e) of this title for one or more Ante, p. 1227,
of the crops of wheat and feed grains if the Secretary determines that 1221.
such action is in the public interest as a result of the imposition of
restrictions on the export of any such commodity by the President or
other member of the executive branch of (Jovernment. In order to
carry out effectively a set-aside or acreage limitation program
authorized under t h ^ section, the Secretary may make such modifi-
cations £ind adjustments in such program as the Secretary deter-
mines necessary because of any delay in instituting such program.".
NORMALLY PLANTED ACREAGE AND TARGET PRICES
SEC. 1106. Section 1001 of the Food and Agriculture Act of 1977 is 7 use 1309.
amended to read as follows:
"SEC. 1001. (a) Notwithstanding any other provision of law, when-
ever a set-aside program is in effect for one or more of the 1982
through 1985 crops of wheat and feed grains, the Secretary of
Agriculture may require, as a condition of eligibility for loans,
purchases, and payments for such crops under the Agricultural Act
of 1949, that producers not exceed the acreage on the farm normally 7 use 1421 note.
planted to crops designated by the Secretary, adjusted as deemed
necessary by the Secretary to be fair and equitable among producers
and reduced by any set-aside or diverted acreage. Such normal crop
acreage for any crop year shall be determined as provided by the
Secretary. The Secretary may require producers participating in the
program to keep such records as the Secretary determines necessary
to assist in making such determination.
"(b) Notwithstanding any other provision of law—
"(1) Whenever the Secretary, for one or more of the 1982
through 1985 crops of wheat and feed grains, requires that
producers not exceed the acreage on the farm normally planted
to crops designated by the Secretary in accordance with subsec-
tion (a) of this section, the Secretary may increase the established
price pajnments for any such commodity by such amount (or if
there are no such pa3rments in effect for such crop by providing
for payments in such amount) as the Secretary determines
appropriate to compensate producers for not exceeding the
acreage on the farm normally planted to crops designated by the
Secretary and participation in any required set-aside with
respect to such commodity.
"(2) In determining the amount of any payments for any
commodity under this subsection, the Secretary shall take intd
account changes in the costs of production resulting from not
exceeding the acreage on the farm normally planted to crops
designated by the Secretary and participation in any required
set-aside with respect to such commodity.
"(3) If payments are provided for any commodity under this
subsection, the Secretary may provide for payments for any
other commodity in such amount as the Secretary determines
necessary for effective operation of the program.
"(4) The Secretary shall adjust any payments under this
subsection to reflect, in whole or in part, any land diversion
95 STAT. 1266 PUBLIC LAW 97-98—DEC. 22, 1981
payments for the commodity for which an increase is deter-
mined.".
NORMAL SUPPLY
7 u s e 1310a. SEC. 1107. Notwithstanding any other provision of law, if the
Secretary of Agriculture determines that the supply of wheat, corn,
upland cotton, or rice for the marketing year for any of the 1982
through 1985 crops of such commodity is not likely to be excessive and
that program measures to reduce or control the planted acreage of
the crop are not necessary, such a decision shall constitute a determi-
nation that the total supply of the commodity does not exceed the
normal supply and no determination to the contrary shall be made by
the Secretary with respect to such commodity for such marketing
year.
NONQUOTA TOBACCO SUBJECT TO QUOTA
SEC. 1108. Effective beginning with the 1982 crop of tobacco, section
7 u s e 1314f. 320 of the Agricultural Adjustment Act of 1938 is amended to read as
follows:
"SEC. 320. (a) Notwithstanding any other provision of law, effective
with respect to the 1982 and subsequent crops of tobacco, any kind of
tobacco for which marketing quotas are not in effect that is produced
in an area where marketing quotas are in effect for any kind of
tobacco shall be subject to the quota for the kind of tobacco for which
marketing quotas are in effect in that area. If marketing quotas are
in effect in an area for more than one kind of quota tobacco, nonquota
tobacco produced in the area shall be subject to the quota for the kind
of quota tobacco produced in the area having the highest price
7 u s e 1421 note. support under the Agricultural Act of 1949.
(b) Subsection (a) of this section shall not apply to—
"(1) Maryland (t3rpe 32) tobacco when it is nonquota tobacco
and produced in a quota area on a farm for which a marketing
quota for Maryland (tjrpe 32) tobacco was established when
marketing quotas for such kind of tobacco were last in effect;
"(2) cigar-filler (type 41) tobacco when it is nonquota tobacco
and produced in Pennsylvania;
"(3) cigar-wrapper (tjrpe 61) tobacco when it is nonquota
tobacco and produced in Connecticut and Massachusetts, and
cigar-wrapper (type 62) tobacco when it is nonquota tobacco £ind
produced in Georgia and Florida; and
"(4) tobacco produced in a quota area that is represented to be
nonquota tobacco and that is readily and distinguishably differ-
ent from all kinds of quota tobacco, as determined through the
application of the standards issued by the Secretary for the
inspection and identification of tobacco. .
TOBACCO PROGRAM COST
7 u s e 1445 note. SEC. 1109. It is the intent of Congress that the tobacco price support
and production adjustment program be carried out in such a manner
as to result in no net cost to the taxpayers other than such adminis-
trative expense as is incidental to the implementation of any com-
Regulations. modity program. To accomplish this objective, the Secretary of
Agriculture shall promulgate such regulations and policies as are
currently within the Secretary's existing Authority by January 1982.
Recommenda- The Secretary shall recommend to Congress by January 1982 any
tion to eongress. l^islative changes the Secretary believes necessary and proper to
achieve this objective.
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1267
Subtitle B—General Provisions
SPECIAL GRAZING AND HAY PROGRAM
SEC. 1110. Section 109 of the Agricultural Act of 1949 is amended 7 use i445d.
by-
CD striking out "1981" in the first sentence of subsection (a)
and inserting in lieu thereof "1985";
(2) striking out "Under the special program" in the second
sentence of subsection (a) and inserting in lieu thereof "If a
special program is implemented"; and
(3) inserting ", reduced acreage, or land diversion" in subsec-
tion (d) after 'Acreage set-aside".
EMERGENCY FEED PROGRAM
SEC. 1111. (a) The fifth sentence of section 407 of the Agricultural
Act of 1949 is amended by striking out "shall" wherever it appears 7 use 1427.
and inserting in lieu thereof "may .
(bXD The first sentence of section 1105(a) of the Food and Agricul-
ture Act of 1977 (7 U.S.C. 2267(a)) is amended by inserting "and
poultry" after "maintenance of livestock".
(2) Paragraphs (1) and (2) of section 1105(b) of the Food and
Agriculture Act of 1977 (7 U.S.C. 2267(b)) are amended by inserting
"or poultry" after "livestock" wherever it appears.
FARM INCOME PROTECTION INSURANCE PROGRAM STUDY
SEC. 1112. (a) It is the sense of Congress that the concept of farm 7 use i42i note.
income protection insurance should be studied in order to determine
whether such a concept might provide the basis for an acceptable
alternative to the commodity price support, income maintenance,
and disaster assistance programs currently administered by the
United States Department of Agriculture for the benefit of United
States farmers. Toward this objective, the Secretary of Agriculture
shall appoint a special task force to study and report on such concept. \
(b) The special task force appointed by the Secretary shall be
composed of the following: a total of three representatives of agricul-
tural commodity organizations and general farm organizations, three
representatives of the private insurance industry (including stock
companies, mutual companies, agents, or brokers), two full-time
farmers, one official of the Federal Crop Insurance Corporation, one
official of the Agricultural Stabilization and Conservation Service,
two individuals from appropriate academic fields, and the designated
representative of the Secretary of Agriculture. The designated repre-
sentative of the Secretary shall serve as the chairman of the special
task force.
(c) The study conducted by the special task force shall include, but
not be limited to, an analysis of the following:
(1) the characteristics of a farm income protection insurance
program;
(2) the feasibility of such a program as a substitute for the
commodity price support, income maintenance, and diseister
assistance programs administered by the Department of Agricul-
ture for United States farmers;
(3) the appropriate roles of the private insurance industry and
the Federal Government in the development, implementation,
and administration of such a program;
95 STAT. 1268 PUBLIC LAW 97-98—DEC. 22, 1981
(4) alternate mechanisms for administering such a program;
(5) the acceptability of such a program to farmers; and
(6) the costs associated with the development and implementa-
tion of such a program.
Transmittal to (d) Not later than eighteen months following enactment of this Act,
congressional the special task force shsdl transmit to the Committee on Agriculture,
committees.
Nutrition, and Forestry of the Senate and the Committee on Agricul-
ture of the House of Representatives copies of the report on farm
income protection insurance and any legislative changes that the
special task force recommends for purposes of establishing a farm
income protection insurance program. Minority views, if submitted
in a timely manner, shall be included in the report prepared and
transmitted by the special task force.
(e) The Secretary of Agriculture shall provide such staff personnel,
clerical assistance, services, materials, and office space as may be
required to assist the special task force in carrying out its duties.
(f) In conducting its study and preparing its report and recommen-
dations, the special task force may obtain the assistance of Depart-
ment of Agriculture employees, and, to the maximum extent practi-
cable, the assistance of employees of other Federal departments or
agencies who may have relevant expertise in the areas of insurance,
income maintenance, disaster assistance, agriculture, program man-
agement, and program evaluation.
(g) Members of the special task force shall serve without compensa-
tion, if not otherwise officers or employees of the United States,
except that, while away from their homes or regular places of
business in the performance of services under this section, they shall
be allowed travel expenses, including per diem in lieu of subsistence,
in the same manner as persons employed intermittently in the
Grovernment service are allowed expenses under sections 5701
through 5707 of title 5, United States Code.
(h) The special task force shall be dissolved forty-five days after
submission of the report required in subsection (d) of this section.
STATE AGENCY AUTHORITY FOR GRAIN INSPECTIONS AT EXPORT PORT
LOCATIONS
SEC. 1113. (a) The first sentence of section 7(e)(2) of the United
States Grain Standards Act (7 U.S.C. 79(e)(2)) is amended by striking
out "If the Administrator determines" and all that follows down
through "the criteria in subsection (fXlXA) of this section," and
inserting in lieu thereof: "If the Administrator determines, pursuant
to paragraph (3) of this subsection, that a State agency is qualii^ed to
perform official inspection, meets the criteria in subsection (fKlXA) of
this section, and (A) was performing official inspection at an export
port location under this Act on July 1,1976, or (B)(i) performed official
inspection at an export port location at any time prior to July 1,1976,
(ii) was designated under subsection (f) of this section on the date of
enactment of the Agriculture and Food Act of 1981 to perform official
inspections at locations other than export port locations, and (iii)
operates in a State from which total annual exports of grain do not
exceed, as determined by the Administrator, 5 per centum of the
total amount of grsun exported from the United States annueilly,".
Effective date. (b) The provisions of this section shall become effective one hun-
7 u s e 79 note. dred and eighty days after enactment of this Act.
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1269
DISTRIBUTION OF SURPLUS COMMODITIES; SPECIAL NUTRITION PROJECTS
SEC. 1114. (a) Notwithstanding any other provision of law, when- 7 use I43ie.
ever Government stocks of commodities are acquired under the price
support programs and are not likely to be sold by the Commodity
Credit Corporation or otherwise used in programs of commodity sale
or distribution, such commodities shall be made available without
charge or credit to nutrition projects under the authority of the Older
Americans Act of 1965 (42 U.S.C. 3001 et seq.), to child nutrition
programs providing food service, and to food banks participating in
the special nutrition projects established under section 211 of the
Agricultural Act of 1980. Such distribution may include bulk distri-
bution to congregate nutrition sites and to providers of home deliv-
ered meals under the Older Americans Act of 1965. The Commodity
Credit Corporation is authorized to use available funds to operate the
program under this subsection and to further process products to
facilitate bonus commodity use.
(b) Section 211 of the Agricultural Act of 1980 (7 U.S.C. 4004) is
amended by—
(1) striking out "demonstration projects" wherever that phrase
occurs in subsections (a) and (b) and inserting in lieu thereof
"special nutrition projects";
(2) striking out "a report to Congress on October 1, 1982," in
subsection (d) and inserting in lieu thereof "to Congress a
progress report on July 1,1983, and a final report on January 1,
1984,";
(3) striking out "demonstration projects" in subsection (d) and
inserting in lieu thereof "special nutrition projects";
(4) redesignating subsection (f) as subsection (g) and inserting
after subsection (e) the following new subsection:
"(f) The Secretary shall minimize paperwork require-
ments placed on food banks which participate in the special
nutrition projects established under this section and shall
otherwise encourage food banks to participate in such proj-
ects."; and
(5) striking out "to carry out this section $356,000" in subsec-
tion (g), as redesignated by paragraph (4) of this subsection, and
inserting in lieu thereof "such sums as may be necessary to carry
out this section",
(c) The heading for section 211 of the Agricultural Act of 1980 is
amended to read as follows:
"DISTRIBUTION OF EXCESS AGRICULTURAL COMMODITIES THROUGH
COMMUNITY FOOD BANKS".
(d) Section 4(b) of the Food Stamp Act of 1977 shall not apply with 7 use 4004a.
respect to distribution of surplus commodities under section 211 of 7 use 2013.
the Agricultural Act of 1980.
PERISHABLE AGRICULTURAL COMMODITIES
SEC. 1115. (a) Paragraphs (6) and (7) of section 1 of the Perishable
Agricultural Commodities Act, 1930 (7 U.S.C. 499a (6) and (7)), are
amended by striking out "$200,000" and inserting in lieu thereof
"$230,000".
(b) Section 3(b) of the Perishable Agricultural Commodities Act,
1930 (7 U.S.C. 499c(b)), is amended by striking out "$150", "$50", and
95 STAT. 1270 PUBLIC LAW 97-98—DEC. 22, 1981
"$1,000", and inserting in lieu thereof "$300", "$150", and "$3,000",
respectively.
(c) Sections 6(c) and 6(d) of the Perishable Agricultural Commod-
ities Act, 1930 (7 U.S.C. 499f (c) and (d)), are amended by striking out
"$3,000" wherever it appears and inserting in lieu thereof "$15,000".
DEPARTMENT OF AGRICULTURE ADVISORY COMMITTEES
SEC. 1116. (a) Title XVIII of the Food and Agriculture Act of 1977
(7 U.S.C. 2281 et seq.) is amended to read as follows:
"TITLE XVIII—DEPARTMENT OF AGRICULTURE ADVISORY
COMMITTEES
"PURPOSES
7 use 2281. "SEC. 1801. The purposes of this title are to—
"(1) require strict financial and program accounting by advi-
sonr committees of the Department of Agriculture;
(2) assure balance and objectivity in the membership of such
advisory committees; and
"(3) prevent the formation or continuation of unnecessary
advisory committees by the Department of Agriculture.
"DEFINITIONS
7 use 2282. "SEC. 1802. When used in this title—
"(1) the term 'Secretary' means the Secretary of Agriculture of
the United States;
"(2) the term 'Department of Agriculture' means the United
States Department of Agriculture; and
"(3) the term 'advisory committee' mesms any committee,
board, commission, council, conference, panel, task force, or
other similiar group, or any subcommittee or other subgroup
thereof that is established or used by the Department of Agricul-
ture in the interest of obtaining advice or recommendations for
the President or the Department of Agriculture, except that such
term excludes any committee which (A) is composed wholly of
full-time officers or employees of the Federal Government, (B) is
established by statute or reorganization plan, or (C) is established
by the President.
"MEMBERSHIP ON ADVISORY COMMITTEES
7 use 2283. "SEC. 1803. (a) No person other than an officer or employee of the
Department of Agriculture may serve simultaneously on more than
one advisory committee, unless authorized by the Secretary.
"(b) Not more than one officer or employee of any corporation or
other non-Federal entity, including all subsidiaries and affiliates
thereof, may serve on the same advisorj' committee at any one time,
unless authorized by the Secretary.
"(c) No person other than £in officer or employee of the Department
of Agriculture may serve for more than six consecutive years on an
advisory committee, unless authorized by the Secretary.
"ANNUAL REPORT
7 use 2284. "SEC. 1804. The Secretary shall annually transmit to the appropri-
ate committees of Congress having legislative jurisdiction or over-
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1271
sight with respect to the agency within the Department of Agricul-
ture that provides support services to an advisory committee, and to
the Library of Congress—
"(1) a copy of the report concerning that advisory committee
prepared in compliance with section 6(c) of the Federal Advisory
Committee Act (5 U.S.C. App.);
"(2) a list of the members of that advisory committee which
shall specify the principal place of residence, persons or compa-
nies by whom they are employed, and other major sources of
income, as defined by the Secretary, of each member; and
"(3) a statement of the amount of expenses incurred in connec-
tion with advisory committee meetings by any member of an
advisory committee for which reimbursement was received from
any source other than the United States or the member's
employer.
"BUDGET PROHIBITIONS
"SEC. 1805. No advisory committee may expend funds in excess of 7 use 2285.
its estimated annual operating costs by more than 10 per centum or
$500, whichever is greater, until it provides the Secretary with an
explanation of the need for the additional expenditure and the
Secretary approves such additional expenditure.
"TERMINATION OP ADVISORY COMMITTEES
"SEC. 1806. The Secretary shall terminate any advisory committee 7 use 2286.
upon a finding that any such advisory committee—
"(1) has expended funds in excess of its estimated annual
operating costs by more than 10 per centum or $500, whichever is
greater, without the prior approval of the Secretary pursuant to
the provisions of section 1805 of this title;
"(2) has failed to file all reports required under the provisions
of the Federal Advisory Committee Act or this title; 5 use app.
"(3) has failed to meet for two consecutive years;
"(4) is responsible for functions that otherwise would be or
should be performed by Federal employees; or
"(5) does not serve or has ceased to serve an essential public
function.".
(b) The table of contents of the Food and Agriculture Act of 1977 is
amended by striking out the items relating to sections 1801 through
1809 and inserting in lieu thereof the following items:
"Sec. 1801. Purposes.
"Sec. 1802. Definitions.
"Sec. 1803. Membership on advisory committees.
"Sec. 1804. Annual report.
"Sec. 1805. Budget prohibitions.
"Sec. 1806. Termination of advisory committees.".
COST OP PRODUCTION STUDY
SEC. 1117. Section 808 of the Agricultural Act of 1970 (7 U.S.C.
1441a) is amended by—
(1) adding after the phrase "all typical variable costs," the
following: "including interest costs,"; and
(2) striking out "equal to the existing interest rates charged by
the Federal Land Bank, and return for management comparable
to the normal management fees charged by other comparable
industries. These studies shall be based upon the size unit that
89-194 O—82 82:QL3
95 STAT. 1272 PUBLIC LAW 97-98—DEC. 22, 1981
requires one man to farm on a full-time basis." and inserting in
lieu thereof ", and a return for management.".
UNLAWFUL TO OFFER FOR SALE OR ADVERTISE PROTECTED SEED WHEN
NOT CERTIFIED BY A STATE AGENCY
SEC. 1118. Section 501 of the Federal Seed Act (7 U.S.C. 1611) is
amended to read as follows:
"SEC. 501. It shall be unlawful in the United States or in interstate
or foreign commerce to sell or offer for sale or advertise, by variety
name, seed not certified by an official seed certifying agency, when it
is a variety for which a certificate of plant variety protection under
7 u s e 2321 note. the Plant Variety Protection Act specifies sale only as a class of
certified seed: Provided, That seed from a certified lot may be labeled
as to variety name when used in a mixture by, or with the approval
of, the owners of the variety.".
PROTECTION AGAINST THE INTRODUCTION AND DISSEMINATION OF
PLANT PESTS
SEC. 1119. The Federal Plant Pest Act (7 U.S.C. 150aa et seq.) is
amended by—
7 u s e 150dd. (1) redesignating subsections (b), (c), and (d) in section 105 as (c),
(d), and (e), respectively, and adding a new subsection Ot)) as
follows:
"(bXl) Whereas, the existence of a plant pest new to or not
theretofore known to be widely prevalent or distributed within and
throughout the United States on any premises in the United States
would constitute a threat to crops, other plant life, and plant products
of the Nation and thereby seriously burden interstate or foreign
commerce, whenever the Secretary determines that an extraordinary
emergency exists because of the presence of such plant pest on any
premises in the United States, and that the presence of such plant
pest anywhere in the United States threatens the crops, other plant
life, or plant products of the United States, the Secretary may (A)
seize, quarantine, treat, apply other remedial measures to, destroy, or
otherwise dispose of, in such manner as the Secretary deems appro-
priate, any product or article of any character whatsoever, or means
of conveyance which the Secretary has reason to believe is infested or
infected by or contains any such plant pest; (B) quarantine, treat, or
apply other remedial measures to, in such manner as the Secretary
deems appropriate, any premises, including articles on such premises
which the Secretary has reason to believe are infested or infected by
any such plant pest: Provided, That any action taken under clauses
(A) and (B) shall be consistent with tne provisions of the Federal
7 u s e 136 note. Insecticide, Fungicide, and Rodenticide Act: Provided further, That
such action may be taken under this subsection only if the Secretary
finds after review of measures taken by the State or other jurisdiction
and after consultation with the Grovernor that the measures being
Publication in taken are inadequate. Before any action is taken in any State or other
Federal jurisdiction under this subsection, the Secretary shall notify the
Register. Grovemor of the State or other jurisdiction, shall issue a public
announcement and shall file a statement for publication in the
Federal Register of the action the Secretary intends to take together
with the findings and reasons therefor: Provided, That if it is not
possible to make such a filing with the Federal Register prior to
taking action, the filing shall be made within a reasonable time, not
to exceedfivebusiness days, after commencement of the action. If the
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1273
Secretary wishes to change any action previously taken under this
subsection, the Secretary shall follow the procedure set forth in the
preceding sentence. The cost of any action taken by the Secretary
under this subsection shall be at the expense of the United States.
"(2) The Secretary may pay compensation to producers and other Compensation
persons for economic losses incurred by them as a result of the
quarantine, destruction, or other action taken under the authority of
paragraph (1) of this subsection. The determination by the Secretary
of the amount of any compensation to be paid under this subsection
shall be final.
"(3) There are authorized to be appropriated such sums as may be Appropriation
necessary to carry out the provisions of this subsection."; and authorization.
(2) adding after the second semicolon in section 107 the 7 use I50ff.
following: "to stop and inspect without a warrant any person or
means of conveyance moving intrastate upon probable cause to
believe that the person or conveyance is carr3dng any product or
article subject to treatment or disposal under the provisions of
this Act or the regulations issued thereunder;".
AUTHORITY TO RELEASE BEE GERM PLASM
SEC. 1120. Section 103 of the Department of Agriculture Organic
Act of 1944 (7 U.S.C. 283) is amended by adding immediately before
the period "and may release bee germ plasm to the public".
USER FEES FOR REPORTS AND PUBUCATIONS
SEC. 1121. The Secretary of Agriculture may furnish upon request 7 use 2242a.
copies of pamphlets, reports, or other publications prepared in the
Department of Agriculture in carrying out agricultural economic
research and statistical reporting functions authorized by law, and
charge such fees therefor as the Secretary may determine to be
reasonable: Provided, That the imposition of such charges shall be
consistent with the provision of title V of the Act of August 31, 1951
(31 U.S.C. 483a), except that all moneys received in pa5nnent for work
or services performed or for documents, reports, or other publications
provided shall be deposited in a separate account or accounts to be
available until expended and may be used to pay directly the costs of
such work, services, documents, reports, or publications, and to repay
or make advsmces to appropriations or funds which do or will initially
bear all or part of such costs.
INSPECTION AND OTHER STANDARDS FOR IMPORTED MEAT PRODUCTS
SEC. 1122. Section 20 of the Federal Meat Inspection Act (21 U.S.C.
620) is amended by adding at the end thereof a new subsection as
follows:
"(f) Notwithstanding any other provision of law, edl carcasses,
parts of carcasses, meat, and meat food products of cattle, sheep,
swine, goats, horses, mules, or other equines, capable of use as
human food, offered for importation into the United States shall
be subject to the inspection, sanitary, quality, species verifica-
tion, and residue standards applied to products produced in the
United States. Any such imported meat articles that do not meet
such standards shall not be permitted entry into the United
States. The Secretary shall enforce this provision through (1) the
imposition of random inspections for such species verification
and for residues, and (2) random sampling and testing of interned
95 STAT. 1274 PUBLIC LAW 97-98—DEC. 22, 1981
oiigans and fat of the carcasses for residues at the point of
slaughter by the exporting country in accordance with methods
Effective date. approved by the Secretary. The provisions of this subsection shall
become effective six months after enactment of the Agriculture
and Food Act of 1981.".
TITLE Xn—AGRICULTURAL EXPORTS AND PUBLIC LAW 480
Subtitle A—General Export Provisions
AGRICULTURAL EXPORT CREDIT REVOLVING FUND
SEC. 1201. Section 4 of the Food for Peace Act of 1966 (7 U.S.C.
7 use 1707a. 1707(a) is amended by adding at the end thereof a new subsection as
follows:
Establishment. "(dXD There is hereby established in the Treasury a revolving fund
to be known as the Agricultural Export Credit Revolving Fund, which
shall be available without fiscal year limitation for use by the
Commodity Credit Corporation (hereafter referred to in this subsec-
tion as the '(Corporation') for financing in accordance with this section
15 use 714c. and section 5(f) of the (Commodity Credit (I!orporation Charter Act the
following—
"(A) commercial export sales of United States agricultural
commodities out of private stocks or stocks owned or controlled
by the (Corporation on credit terms of not to exceed three years;
"(B) export sales of United States breeding animals (including,
but not limited to, cattle, swine, sheep, and poultry), including
the cost of freight from the United States to designated points of
entry in other nations; and
"(C) the establishment of facilities in importing countries to
improve the capacity of such coimtries for handling, marketing,
processing, storing, or distributing fungible agricultural com-
modities produced in and exported from the United States
(through the use of local currency generated from the sale d
United States agricultural commodities).
"(2) The Corporation shall use the revolving fund only to extend
credit for purposes of market development and expansion and only
where there is substantial potential for developing or enhancing
regular commercial markets for United States agricultural commod-
ities.
"(3) The Secretary of Agriculture shall ensure that the revolving
fund is used in such a manner as to involve equitable use of the funds
to finance sales to the greatest feasible number of countries consist-
ent with maximizing market opportunities. In carrying out this
objective, the Secretary shall establish procedures under which—
"(A) not less than 85 per centum of the estimated amount in
the revolving fund for any fiscal year shall be made available for
the purposes provided in clause (A) of paragraph (1) of this
subsection; and
"(B) not to exceed 25 per centum of the estimated amount in
the revolving fund for any fiscal year shall be made available for
the financing of credit sales to any one country for the purposes
described in paragraph (1) of this subsection.
Appropriation "(4) There are authorized to be appropriated to the Agricultural
authorization. Export Credit Revolving Fund such sums as may be necessary to
carry out the provisions of this subsection. All funds received by the
Corporation in payment for credit extended by the Corporation using
the revolving fund, including interest or other receipts on invest-
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1275
ments and credit obligations, in financing export sales of the types
specified in paragraph (1) of this subsection shall be added to and
become a part of such revolving fund.
"(5) The Secretary shall submit an annual report to Congress not Report to
later than December 1 of each year with respect to the use of the Congress.
revolving fund in carrying out export credit sales by the Corporation
in the previous fiscal year. Such report shall include, for the previous
fiscal year, the names of the countries extended credit under this
subsection, the total amount of such credit extended to each such
country, the names of the United States exporters that received any
such credit, the total amount of credit provided to each such exporter
stated separately for each commodity for which the credit was
extended, and a discussion and evaluation of the market development
and expansion activities of the Corporation under this subsection
during such fiscal year. The first such report shall be submitted to
Congress not later than December 1,1982.
"(6) The revolving fund created by this subsection is abolished Fund
effective October 1,1985, and all unobligated money in such fund on abolition.
September 30, 1985, shall be transferred to and become part of the
miscellaneous receipts account of the Treasury.
"(7) The authority provided under this subsection shall be in
addition to, and not in lieu of, any authority granted to the Secretary
or the Corporation under any other provision of law.
"(8) The authority provided under this subsection to incur obliga-
tions to make loans shall be effective only to the extent that such
obligations do not exceed annual limitations on new direct loan
obligations which shall be provided in annual appropriations Acts.".
CONGRESSIONAL CONSULTATION ON BILATERAL COMMODITY SUPPLY
AGREEMENTS
SEC. 1202. As soon as practicable before the Government of the 7 use I736h.
United States enters into any bilateral international agreement,
other than a treaty, involving a commitment on the part of the
United States to assure access by a foreign country or instrumental-
ity thereof to United States agriculture commoaities or products
thereof on a commercial basis, the President is encouraged to notify
and consult with the appropriate committees of Congress for the
purpose of setting forth in detail the terms of and reasons for
negotiating such agreement.
SPECIAL STANDBY EXPORT SUBSIDY PROGRAM
SEC. 1203. (a) In order to discourage foreign countries or instrumen- 7 use I736i.
talities thereof from using subsidies to promote the exportation of
agricultural commodities, the Secretary of Agriculture shall formu-
late a special standby export subsidy program for agricultural com-
modities or products thereof produced in the United States. Such
program shall be designed to neutralize the effects of export subsidy
programs instituted by foreign countries or instrumentalities to
encourage exports of their agricultural commodities to foreign mar-
kets other than the United States.
Qy) The Secretary may implement the special standby export
subsidy program formulated under subsection (a) of this section only
after the President—
(1) makes a determination under section 301 of the Trade Act
of 1974 (19 U.S.C. 2411) that action by the United States is
95 STAT. 1276 PUBLIC LAW 97-98—DEC. 22, 1981
appropriate to obtain the elimination of an act, policy, or practice
of a foreign country or instrumentality that results in—
(A) substantial displacement of United States exports of
agricultural commodites to foreign markets, or
(B) prices for agricultural commodities in foreign markets
materially below prices which suppliers of the same agricul-
tural commodities produced in the United States must
charge in order to supply such commodities to the same
m£u*kets;
(2) makes a determination that such act, policy, or practice of
the foreign country or instrumentality concerned involves the
use of export subsidies to encourage exports of such country's or
instrumentality's agricultural commodities to foreign markets
other than the Uniteid States; and
(3) fails to reach a mutually acceptable resolution through
consultation with the foreign country or instrumentality con-
cerned.
(c) The Secretary shall use the Commodity Credit Corporation in
carrying out the special standby export subsidy program authorized
by this section.
(d) Notwithstanding any other provision of this section, the Secre-
tary shall not implement the special standby export subsidy program
for cotton.
(e) The authority provided under this section shall be in addition to,
and not in lieu of, any authority granted to the Secretary or the
Commodity Credit Corporation by any other provision of law.
AGRICULTURAL EMBARGO PROTECTION
7 use 1736J. SEC. 1204. Notwithstanding any other provision of law—
(a) If the President or other member of the executive branch of the
Federal Covernment causes the export of any agricultural commod-
ity to any country or area of the world to be suspended or restricted
for reasons of nationcQ security or foreign policy under the Export
50 use app. 2401 Administration Act of 1979 or any other provision of law, and if such
note. suspension or restriction of the export of such agricultural commod-
ity is imposed other than in conn^ion with a suspension or restric-
tion of all exports from the United States to such country or area of
the world, and if sales of such agricultural commodity for export from
the United States to such country or area of the world during the year
preceding the year in which the suspension or restriction is imposed
exceed 3 per centum of the total ssles of such commodity for export
from the United States to all foreign countries during the year
preceding the year in which the suspension or restriction is in effect,
the Secretary of Agriculture shall compensate producers of the
commodity involved by—
(1) making payments available to such producers, as provided
in subsection (b) of this section;
(2) on the date on which the suspension or restriction is
imposed, establishing the loan level for such commodity under
7 use 1421 note. the Agricultural Act of 1949, if a loan program is in effect for the
commodity, at 100 per centum of the parity price for the
commodity, as determined by the Secretary on the date of the
imposition of the suspension or restriction; or
(3) undertaking any combination of the measures described in
clauses (1) and (2) of this subsection.
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1277
(b) If the Secretary makes pa5nTients available to producers pursu-
ant to clause (1) of subsection (a) of this section, the amount of such
payment shall be determined by—
(1) in the case of an agricultural commodity for which pay-
ments are authorized to be made to producers under title I of the
Agricultural Act of 1949, multiplying (A) the producer's farm 7 USC 1441.
program payment yield or the yield established for the farm for
the commodity involved, times (B) the farm program acreage
established for the commodity, times (C) the amount by which
the average market price per unit of such commodity received by
producers during the sixty-day period immediately following the
date of the imposition of the suspension or restriction is less than
100 per centum of the parity price for such commodity, £is
determined by the Secretary on the date of the imposition of the
suspension or restriction; or
(2) in the case of other agricultural commodities for which
price support is authorized for producers under the Agricultural
Act of 1949, multiplying the amount by which the average 7 USC 1421 note,
market price per unit of such commodity received by the produc-
ers during the sixty-day period immediately following the date of
the imposition of the suspension or restriction is less than 100 per
centum of the parity price for such commodity, as determined by
the Secretary on the date of the imposition of the suspension or
restriction, by the quantity of such commodity sold by the
producer during the period that the suspension or restriction is
in effect.
(c) The payments made pursuant to clause (1) of subsection (b) of
this section shall be made for each marketing year or part thereof
during which the suspension or restriction is in effect and shall be
made in equal amounts at ninety-day intervals, beginning ninety
days after the date of the imposition oi the suspension or restriction.
(d)(1) Any loan level established pursuant to clause (2) of subsection
(a) of this section shall remain in effect as long as the suspension or
restriction described in subsection (a) remains in effect.
(2) Any commodity loan the level of which is increased by the
Secretary pursuant to clause (2) of subsection (a) of this section shall
be made available to producers of the commodity without interest.
(e) The Secretary may issue such regulations as are deemed
necessary to carry out the provisions of this section.
(f) The Secretary shall use the Commodity Credit Corporation in
carrying out the provisions of this section.
(g) The provisions of this section shall become effective with respect Effective date.
to any suspension or restriction of the export of any agricultural
commodity, as described in subsection (a) of this section, implemented
after the date of enactment of this Act.
DEVELOPMENT OF PLANS TO ALLEVIATE ADVERSE IMPACT OF EXPORT
EMBARGOES ON AGRICULTURAL COMMODITIES
SEC. 1205. In order to alleviate, to the maximum extent possible, 7 use I736k.
the adverse impact on farmers, elevator operators, common carriers,
and exporters of agricultural commodities when the President or
other member of the executive branch of the Federal Government
causes the export of any agricultural commodity to any country or
area of the world to be suspended or restricted, the Secretary of
Agriculture shall—
(1) develop a comprehensive contingency plan that includes—
95 STAT. 1278 PUBLIC LAW 97-98—DEC. 22, 1981
(A) an assessment of existing farm programs with a view to
determining whether such programs are sufficiently flexible
to enable the Secretary to efficiently and effectively offset
the adverse impact of such a suspension or restriction
on farmers, elevator operators, common carriers, and
exporters of commodities provided for under such programs;
(B) an evaluation of the kinds and availability of informa-
tion needed to determine, on an emergency basis, the extent
and severity of the impact of such a suspension or restriction
on producers, elevator operators, common carriers, and
exporters; and
(C) the development of criteria for determining the extent,
if any, to which the impact of such a suspension or restric-
tion should be offset in the case of each of the sectors
referred to in clause (IXB) of this section;
(2) for any suspension or restriction for which compensation is
not provided under section 1204 of this title, develop and submit
to Congress such recommendations for changes in existing agri-
cultural programs, or for new programs, as the Secretary consid-
ers necessary to handle effectively, efficiently, economically, and
fairly the impact of any such suspension or restriction;
(3) for any suspension or restriction for which compensation is
provided under section 1204 of this title, develop and submit to
Congress a plan for implementing and administering section
1204; and
(4) require the Commodity Credit Corporation, before such
corporation purchases any contracts for the purpose of offsetting
the impact of a commodity suspension or restriction, to—
(A) prepare an economic justification for each commodity
involved in the suspension or restriction to determine if such
a purchase is necessary;
(B) estimate any suspension- or restriction-related benefits
and detrimental effects to the exporters, and use both
estimates in determining the extent, if any. Federal assist-
ance is needed; and
(C) limit its purchases to only those types and grades of
commodities suspended or restricted from shipment and
make such purchases at prices at or near the current market
prices.
CONSULTATION ON GRAIN MARKETING
7 use 1736/. SEC. 1206. Congress encourages the Secretary of Agriculture, in
coordination with other appropriate Federal departments and agen-
cies, to continue to consult with representatives of other major grain
exporting nations toward the goal of establishing more orderly
marketing of grain and achieving higher farm income for producers
of grain.
EXPANSION OP INTERNATIONAL MARKETS FOR UNITED STATES
AGRICULTURAL COMMODITIES AND PRODUCTS THEREOF
7 use 1736m. SEC. 1207. (a) It is the sense of Congress that, in order to further
assist in the development, maintenance, and expansion of interna-
tional markets for United States agricultural commodities and the
products thereof, the Secretary of Agriculture should and is
requested to—
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1279
(1) use the intermediate credit program authorized under
section 4 of the Food for Peace Act of 1966 (7 U.S.C. 1707a) to
improve the capability of importing nations to purchase and use
United States agricultural commodities and the products thereof
on a long-term basis;
(2) ask Congress, at the earliest practicable date, for funds for
the agricultural export credit revolving fund in an amount
sufQcient to meet the demand for short-term credit authorized to
be made available under section 4 of the Food for Peace Act of
1966;
(3) establish, insofar as practicable, the maximum number of
United States Agricultural Trade Offices in other nations au-
thorized by section 605A of the Act of August 28,1954 (7 U.S.C.
1765a);
(4) use, to the maximum extent practicable, existing authority
to ensure full utilization of the levy-free quota, established
during the Tokyo round of the multilateral trade negotiations,
for the export sale of United States high quality beef to the
European Economic Community;
(5) expand, to the fullest extent possible, the market develop-
ment activities of the Foreign Agricultural Service of the Depart-
ment of Agriculture in developed, developing, market, and
nonmarket foreign countries with particular emphasis on (A)
continuation of the cooperator programs at the same funding
level (adjusted for inflation) as provided during fiscal year 1970;
(B) a more active export market development program for value
added farm products and processed foods; and (C) the implemen-
tation of a full-scale program for forestry products, including
commodity information, trade policy, and market development
for such products;
(6) ensure that the European Economic Community observes
its commitments under the General Agreement on Tariffs and
Trade regarding the tariff-free binding on imports of soybeans
and corn gluten feed;
(7) consult with the appropriate officials of the Government of
Jai)an with the objective of increasing the export sales of citrus
fruits and high quality beef to Japan and to develop mutually
acceptable standards for the certification of lettuce and other
specialty crops for export to Japan; and
(8) use the authority under section 32 of the Act of August 24,
1935 (7 U.S.C. 612c), to establish a special standby export subsidy
program for United States agricultural commodities and the
products thereof, the export of which has been restricted by
foreign government subsidies.
(b) It is further declared to be the sense of Congress that any special
standby export subsidy program established by the Secretary of
Agriculture pursuant to subsection (aX8) of this section should be (1)
consistent with United States international obligations, and (2)
designed to neutralize the effects of those foreign agricultural com-
modity subsidy programs that—
(A) the President has determined, pursuant to section 301 of
the Trade Act of 1974 (19 U.S.C. 2411), are acts, policies, or
practices described in section 301(a) of such Adt that should be
eliminated by appropriate action of the United States; and
(B) have, as the result of the appropriate dispute settlement
procedures, been found to be in violation of the General Agree-
ment on Tariffs and Trade or the Agreement on Interpretation
and Application of Articles VI, XVI and XXIII of the General
95 STAT. 1280 PUBLIC LAW 97-98—DEC. 22, 1981
Agreement on Tariffs and Trade (relating to subsidies and
countervailing measures), if applicable.
INCREASED USAGE OF PROTEIN BYPRODUCTS DERIVED FROM ALCOHOL
FUEL PRODUCTION
7 use I736n. SEC. 1208. (a) Congress finds that the use of the protein byproduct
resulting from the production of fuel alcohol from agricultural
commodities may make it possible for the United States to make
available significantly increased amounts of protein to meet the food
needs of developing countries without any increase in handling,
storage, and transportation facilities. It is the sense of Congress that
serious consideration should be given to the potential of this protein
byproduct and that, if found to be feasible, this protein byproduct
should be included in the Department of Agriculture's commodity
export and donation programs.
OJ) Accordingly, the Secretary of Agriculture shall continue to
investigate the potential for using the protein byproduct resulting
from the production of fuel alcohol from agricultural commodities in
meeting the food needs of developing countries through food for peace
programs carried out under the Agricultural Trade Development and
7 use 1691 note. Assistance Act of 1954 and through the export credit sales program
7 use 1707a. carried out under section 4 of the Food for Peace Act of 1966 and
15 use 714c. section 5(f) of the Commodity Credit Corporation Charter Act.
(c) The Secretary shall also continue to investigate the potential for
using the protein b5rproduct resulting from the production of fuel
alcohol from agricidtural commodities in the distribution of food
products under the commodity donation program carried out under
7 use 1431. clause (3) of section 416 of the Agricultural Act of 1949 and under
7 use 1859. section 210 of the Agricultured Act of 1956.
Report to (dXD Not later than twelve months after enactment of this Act, the
eongress. Secretary shall include the results of the investigations referred to in
subsections (b) and (c) of this section in an appropriate report to
Congress.
(2) The Secretary shall thereafter provide to Congress each year a
description of the efforts being made by the Department to make
available, as part of the programs referred to in subsections (b) and (c)
of this section, the protein byproduct resulting from the production of
fuel alcohol from agricultural commodities. The information for all
such programs shall be included in the report submitted pursuant to
section 408(a) of the Agricultural Trade Development and Assistance
7 use 1736b. Act of 1954, or in any other appropriate annual report to Congress.
EXEMPTION FOR PROTEIN BYPRODUCTS
SEC. 1209. The Act entitled "An Act authorizing Commodity Credit
Corporation to purchase flour and cornmeal and donating same for
certain domestic and foreign purposes", approved August 19,1958 (7
U.S.C. 1431 note), is amended in the proviso by inserting "(except that
this limitation does not apply in the case of the protein byproduct
resulting from the production of fuel alcohol from agricultural
commodities)" immediately after "processed".
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1281
Subtitle B—Public Law 480
SELF-HELP MEASURES TO INCREASE AGRICULTURAL PRODUCTION;
VERIFICATION OF SELF-HELP PROVISIONS
SEC. 1210. (a) Section 109(a) of the Agricultural Trade Development
and Assistance Act of 1954 is amended by— 7 use 1709.
(1) inserting in paragraph (3) immediately before the semicolon
", and reducing illiteracy among the rural poor";
(2) striking out the period at the end of paragraph (10) and
inserting in lieu thereof "; and"; and
(3) inserting the following new paragraph immediately after
paragraph (10);
"(11) carrying out programs to improve the health of the rural
poor.".
(b) Section 109 of the Agricultural Trade Development and Assist-
ance Act of 1954 is amended by adding at the end thereof a new
subsection as follows:
"(dXl) In each agreement entered into under this title and in each
amendment to such an agreement, the economic development and
self-help measures which the recipient country agrees to undertake
shall be described (A) to the maximum extent feasible, in specific and
measurable terms, and (B) in a manner which ensures that the needy
people in the recipient country will be the major beneficiaries of the
self-help measures pursuant to each agreement.
"(2) The President shall, to the maximum extent feasible, take
appropriate steps to assure that, in each agreement entered into
under this title and in each amendment to such an agreement, the
self-help measures agreed to are additional to the measures that the
recipient country otherwise would have undertaken irrespective of
that agreement or amendment.
"(3) The President shall take all appropriate steps to determine
whether the economic development and self-help provisions of each
agreement entered into under this title, and of each amendment to
such an agreement, are being fully carrried out.".
REQUIREMENT FOR INVITATIONS FOR BIDS ON TITLE I PURCHASES
SEC. 1211. Section 115(a) of the Agricultural Trade Development
and Assistance Act of 1954 is amended by inserting "from private 7 use 1715.
stocks" in the first sentence after "food commodities".
TITLE II AUTHORIZATION CEILING
SEC. 1212. Section 204 of the Agricultural Trade Development and
Assistance Act of 1954 is amended by striking out in the first sentence 7 use 1724.
"$750,000,000" and inserting in lieu thereof "$1,000,000,000".
OVERSEAS MARKET DEVELOPMENT
SEC. 1213. Section 402 of the Agricultural Trade Development and
Assistance Act of 1954 is amended by striking out in the second 7 use 1732.
sentence "wine or beer" and inserting in lieu thereof "wine, beer,
distilled spirits, or other alcoholic beverage".
95 STAT. 1282 PUBLIC LAW 97-98—DEC. 22, 1981
VALUATION OF COMMODITIES
SEC. 1214. Section 403(b) of the Agricultural Trade Development
7 u s e 1733. and Assistance Act of 1954 is amended by inserting "a price not
greater than" after "valued at".
ANNUAL REPORT
SEC. 1215. Section 408(a) of the Agricultural Trade Development
7 u s e 1736b. and Assistance Act of 1954 is amended by striking out "April 1" and
inserting in lieu thereof "February 15".
EXTENSION OF PROGRAM
SEC. 1216. Section 409 of the Agricultural Trade Development and
7 u s e 1736c. Assistance Act of 1954 is amended by—
(1) striking out in the first sentence "1981" and inserting in
lieu thereof "1985"; and
(2) striking out in the second sentence "Food and Agriculture
Act of 1977" and inserting in lieu thereof "Agriculture and Food
Act of 1981".
TITLE XIII-FOOD STAMP AND COMMODITY DISTRIBUTION
AMENDMENTS OF 1981
SHORT TITLE
7 u s e 2011 note. SEC. 1301. This title may be cited as the "Food Stamp and Commod-
ity Distribution Amendments of 1981".
HOUSEHOLD DEFINITION
7 u s e 2012. SEC. 1302. Section 3(i) of the Food Stamp Act of 1977 is amended by
inserting before the period at the end of the first sentence the
following: ", or receives supplemental security income benefits under
42 u s e 1381. title XVI of the Social Security Act or disability or blindness pay-
42 u s e 301, 401, ments under title I, II, X, XIV, or XVI of the Social Security Act .
1201,1351, 1381.
ALASKA'S THRIFTY FOOD PLAN
7 u s e 2012. SEC. 1303. Clause (2) of section 3(o) of the Food Stamp Act of 1977 is
amended to read as follows:
"(2) make cost adjustments in the thrifty food plan for Hawaii and
the urban and rural parts of Alaska to reflect the cost of food in
Hawaii and urban and rural Alaska,".
ADJUSTMENT OF THE THRIFTY FOOD PLAN
Ante, p. 358. SEC. 1304. Section 3(o) of the Food Stamp Act of 1977 is amended by
striking out clause (6) and all that follows through the end of clause
(9), and inserting in lieu thereof the following: "(6) on October 1,1982,
adjust the cost of such diet to the nearest dollar increment to reflect
changes in the cost of the thrifty food plan for the twenty-one months
ending the preceding June 30, 1982, and (7) on October 1, 1983, and
each October 1 thereafter, adjust the cost of such diet to the nearest
dollar increment to reflect changes in the cost of the thrifty food plan
for the twelve months ending the preceding June 30: Provided, That
the periods upon which such adjustments are based shall be subject to
revision by Act of Congress".
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1283
REIMBURSEMENT EXCLUSION
SEC. 1305. Section 5(dX5) of the Food Stamp Act of 1977 is amended 7 use 2014.
by adding before the comma the following: ": Provided, That no
portion of benefits provided under title IV-A of the Social Security
Act, to the extent it is attributable to an adjustment for work-related 42 use 601.
or child care expenses, shall be considered such reimbursement".
ENERGY ASSISTANCE PAYMENTS; EXCLUDED PAYMENTS OF OTHER
PROGRAMS
SEC. 1306. Section 5(d) of the Food Stamp Act of 1977 is amended by 7 use 2014.
striking out "(10)" and all that follows through the period, and
inserting in lieu thereof the following: "(10) any income that any
other F^eral law specifically excludes from consideration as income
for purposes of determining eligibility for the food stamp program,
and (11) any payments or allowEuices made under (A) any Federal law
for the purpose of providing e n e r ^ assistance, or (B) any State or
local laws for the purpose of providmg energy assistance, designated
by the State or local legislative body authorizing such payments or
allowances as energy assistance, and determined by the Secretary to
be calculated as if provided by the State or local government involved
on a seasonal basis for an aggregate period not to exceed six months
in any year even if such pa3mients or allowances (including tax
credits) are not provided on a seasoned basis because it would be
administratively mfeasible or impracticable to do so.".
DISALLOWANCE OF DEDUCTIONS FOR EXPENSES PAID BY VENDOR
PAYMENTS
SEC. 1307. Section 5(e) of the Food Stamp Act of 1977 is amended by
adding in the fourth and fifth sentences after "entitled" the follow-
ing: ", with respect to expenses other than expenses paid on behalf of
the household by a third party,".
ATTRIBUTION OF INCOME AND RESOURCES TO SPONSORED AUENS
SEC. 1308. Section 5 of the Food Stamp Act of 1977 is amended by
adding a new subsection as follows:
"(iXl) For purposes of determining eligibility for and the amount of
benefits under this Act for an individual who is an alien as described
in section 6(fK2)(B) of this Act, the income and resources of any person 7 use 2015.
who as a sponsor of such individual's entry into the United States
executed an affidavit of support or similar agreement with respect to
such individual, and the income and resources of the sponsor's spouse
if such spouse is living with the sponsor, shall be deemed to be the
income and resources of such individual for a period of three years
after the individual's entry into the United States. Any such income
deemed to be income of such individual shall be treated as unearned
income of such individual.
"(2XA) The amount of income of a sponsor, and the sponsor's spouse
if living with the sponsor, which shall be deemed to be the unearned
income of an alien for any year shall be determined as follows:
"(i) the total yearly rate of earned and unearned income of
such sponsor, and such sponsor's spouse if such spouse is living
with the sponsor, shall be determined for such year under rules
prescribed by the Secretary;
"(ii) the amount determined under clause (i) of this subpara-
graph shall be reduced by an amount equal to the income
95 STAT. 1284 PUBLIC LAW 97-98—DEC. 22, 1981
7 use 2014. eligibility standard as determined under section 5(c) of this Act
for a household equal in size to the sponsor, the sponsor's spouse
if living with the sponsor, and any persons dependent upon or
receiving support from the sponsor or the sponsor's spouse if the
spouse is living with the sponsor; and
"(iii) the monthly income attributed to such alien shall be one-
twelfth of the amount calculated under clause (ii) of this subpara-
gr^h.
"(B) The amount of resources of a sponsor, and the sponsor's spouse
if living with the sponsor, which shall be deemed to be the resources
of an afien for any year shall be determined as follows:
"(i) the total amount of the resources of such sponsor and such
sponsor's spouse if such spouse is living with the sponsor shall be
determinea under rules prescribed by the Secretary;
''(ii) the amount determined under clause (i) of this subpara-
graph shall be reduced by $1,500; and
"(iii) the resources determined under clause (ii) of this subpara-
graph shall be deemed to be resources of such alien in addition to
any resources of such alien.
''(CXi) Any individual who is an alien shall, during the period of
three years after entry into the United States, in order to be an
eligible individual or eligible spouse for purposes of this Act, be
required to provide to the State agency such information and docu-
mentation with respect to the alien's sponsor and sponsor's spouse as
may be necessary in order for the State agency to make any
determination required under this section, andtoobtain any coopera-
tion from such sponsor necessary for anv such determination. Such
alien shall also be requiredtoprovide such information and documen-
tation which such alien or the sponsor provided in support of such
alien's immigration application as the State agency may request,
"(ii) The Secretary shall enter into agreements wim the Secretary
of State and the Attorney General whereby any information avail-
able to such persons and required in order to make any determina-
tion under this section will be provided by such persons to the
Secretaiy, and whereby such persons shall imorm any sponsor of an
alien, at the time such sponsor executes an affidavit of support or
similar agreement, of the requirements imposed by this section.
"(D) Any sponsor of an alien, and such aUen, shall be jointly and
severably liaole for an amount equal to any overpayment made to
such alien during the period of three years after such alien's entry
into the United States, on account of such sponsor's failure to provide
correct information under the provisions of this section, except where
such sponsor was without fault, or where good cause for such failure
existed. Any such overpayment which is not repaid shall be recovered
Ante, p. 363. in accordanco with the provisions of section 13(bX2) of this Act.
"(E) The provisions of this subsection shall not apply with respect
to any alien who is a member of the sponsor's household, as defined in
7 use 2012. section 3(i) of this Act.".
RESOURCES
7 use 2014. SEC. 1309. Section 5(g) of the Food Stamp Act of 1977 is amended by
inserting "(other than those relating to licensed vehicles)" after
"June 1,1977" in the second sentence.
ANNUAUZATION OF WORK REGISTRATION
7 use 2015. SEC. 1310. Section 6(dXlXi) of the Food Stamp Act of 1977 is
amended by striking out "six" and inserting in lieu thereof "twelve".
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1285
WORK REQUIREMENTS
SEC. 1311. Section 6(d) of the Food Stamp Act of 1977 is amended 7 use 2015.
by-
(1) striking out ", unless the household was certified for
benefits under this Act immediately prior to such unemploy-
ment" in clause (iii) of paragraph (1);
(2) inserting "(including the lack of adequate child care for
children above the age of five and under the age of twelve)" after
"good cause" in clause (iv) of paragraph (1);
(3) inserting before the semicolon at the end of clause (A) of
paragraph (2) ", in which case, failure by such person to comply
with any work requirement to which such person is subject that
is comparable to a requirement of paragraph (1) shall be the
same as failure to comply with that requirement of paragraph
(l)";and
(4) striking out "twelve" and inserting in lieu thereof "six" in
paragraph (2)(B).
STATE ISSUANCE LIABILITY
SEC. 1312. Section 7(f) of the Food Stamp Act of 1977 is amended to 7 use 2016.
read as follows:
"(f) Notwithstanding any other provision of this Act, the State
agency shall be strictly liable to the Secretary for any financial losses
involved in the acceptance, storage and issuance of coupons, includ-
ing any losses involving failure of a coupon issuer to comply with the
requirements specified in section ll(eX21), except that in the case of Post, p. 1287.
losses resulting from the issuance and replacement of authorizations
for coupons and allotments which are sent through the mail, the
State agency shall be liable to the Secretary to the extent prescribed
in the regulations promulgated by the Secretary.".
ACCESS OF COMPTROLLER GENERAL TO INFORMATION
SEC. 1313. Section 9(c) of the Food Stamp Act of 1977 is amended by 7 use 2018.
adding at the end thereof the following: "Such purx)oses shall not
exclude the audit and examination of such information by the
Comptroller General of the United States authorized by any other
provision of law.".
REPORTING OF ABUSES BY THE PUBUC
SEC. 1314. Section 9 of the Food Stamp Act of 1977 is amended by
adding at the end thereof a new subsection as follows:
"(e) Approved retail food stores shall display a sign providing
information on how persons may report abuses they have observed in
the operation of the food stamp program.".
RETAIL R E D E M P T I O N
SEC. 1315. Section 10 of the Food Stamp Act of 1977 is amended by 7 use 2019.
striking out the term "banks" whenever it appears and inserting in
lieu thereof the following: "financial institutions which are insured
by the Federal Deposit Insurance Corporation or the Feder£d Savings
and Loan Insurance Corporation".
95 STAT. 1286 PUBLIC LAW 97-98—DEC. 22, 1981
SIXTY-DAY TRANSFER OF CERTIFICATION
7 use 2020. SEC. 1316. Section 11 of the Food Stamp Act of 1977 is amended by
striking out subsection (b).
NOTICE OF VERIFICATION
SEC. 1317. Section ll(eX2) of the Food Stamp Act of 1977 is amended
by inserting after the second period the following new sentence:
"Each application shall also contain in understandable terms and in
prominent and boldface lettering a statement that the information
provided by the applicant in connection with the application for a
coupon allotment will be subject to verification by Federal, State, and
loc^ officials to determine if such information is factual and that if
any material part of such information is incorrect, food stamps may
be denied to the applicant, and that the applicant may be sul>
jected to criminal prosecution for knowingly providing incorrect
information.".
RECERTIFICATION NOTICE
S E C 1318. Section ll(eX4) of the Food Stamp Act of 1977 is amended
by-
(1) striking out "immediately prior to or at" and inserting in
lieu
;u thereof "prior to"; and
(2) striking out "it" after "advising" and inserting in lieu
thereof "the household".
DISCLOSURE OF INFORMATION TO COMPTROLLER GENERAL, LAW
ENFORCEMENT OFFICIALS
SEC. 1319. Section ll(eX8) of the Food Stamp Act of 1977 is amended
by inserting before the semicolon the following: ", except that (A)
such s£ifeguards shall not prevent the use or disclosure of such
information to the Comptroller General of the United States for audit
and examination authorized by any other provision of law, and (B)
notwithstanding any other provision of law, all information obtained
under this Act from an applicant household shall be made available,
upon request, to local. State or Federal law enforcement officials for
the purpose of investigating an alleged violation of this Act or any
regulation issued under this Act".
RESTORATION OF LOST BENEFITS
SEC. 1320. (a) Section ll(eXll) of the Food Stamp Act of 1977 is
amended to read as follows:
"(11) upon receipt of a request from a household, for the
prompt restoration in the form of coupons to a household of any
allotment or portion thereof which has been wrongfully denied
or terminated, except that allotments shall not be restored for
any period of time more than one year prior to the date the State
agency receives a request for such restoration from a household
or the State agency is notified or otherwise discovers that a loss
to a household has occurred;".
7 use 2023. (b) Section 14 of the Food Stamp Act of 1977 is amended b y -
CD inserting "(a)" immediately after the section designation;
and
(2) adding a new subsection as follows:
"(b) In any judicial action arising under this Act, any food
stamp allotments found to have been wrongfully withheld shall
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1287
be restored only for periods of not more than one year prior to the
date of the commencement of such action, or in the case of an action
seeking review of a final State agency determination, not more than
one year prior to the date of the fihng of a request with the State for
the restoration of such allotments or, in either case, not more than
one year prior to the date the State agency is notified or otherwise
discovers the possible loss to a household.".
INFORMATION
SEC. 1321. Section 11(e) of the Food Stamp Act of 1977 is amended 7 use 2020.
by-
(1) striking out "and" at the end of paragraph (18);
(2) striking out the period at the end of paragraph (19) and
inserting in lieu thereof a semicolon; and
(3) adding at the end thereof new paragraphs as follows:
"(20) that information available from the Social Security
Administration under the provisions of section 6103(i)(7) of the
Internal Revenue Code of 1954, and information available from 94 Stat. 365.
agencies administering State unemployment compensation laws ^^ ^°^
under the provisions of section 303(d) of the Social Security Act, 94 Stat. 366.
shall be requested and utilized by the State agency (described in '*^ ^°^ ^"^•
section 3(n)(l) of this Act) to the extent permitted under the ^ use 2012.
provisions of such sections, except that the State agency shall not
be required to request such information from the Social Security
Administration if such information is available from the agency
administering the State unemployment compensation laws; and
"(21) that, in project areas or parts thereof where authoriza-
tion cards are used, and eligible households are required to
present photographic identification cards in order to receive
their coupons, the State agency shall include, in any agreement
or contract with a coupon issuer, a provision that (A) the issuer
shall (i) require the presenter to furnish a photographic identifi-
cation card at the time the authorization card is presented, and
(ii) record on the authorization card the identification number
shown on the photographic identification card; and (B) if the
State agency determines that the authorization card has been
stolen or otherwise was not received by a household certified as
eligible, the issuer shall be liable to the State agency for the face
value of any coupons issued in the transaction in which such card
is used and the issuer fails to comply with the requirements of
clause (A) of this paragraph.".
NUTRITION EDUCATION PROGRAM
SEC. 1322. Section 11(f) of the Food Stamp Act of 1977 is amended to ? use 2020.
read as follows:
"(f) To encourage the purchase of nutritious foods, the Secretary is
authorized to extend food and nutrition education to reach food
stamp program participants, using the methods and techniques
developed in the expanded food and nutrition education and other
programs.".
ALASKAN FEE AGENTS
SEC. 1323. Section 11 of the Food Stamp Act of 1977 is amended by
adding thereto a new subsection as follows:
-194 0-82 83:QU
95 STAT. 1288 PUBLIC LAW 97-98—DEC. 22, 1981
"(m) The Secretary shall provide for the use of fee agents in rural
"Fee agent." Alaska. As used in this subsection 'fee agent' means a paid agent who,
although not a State employee^ is authorized by the State to make
applications available to low-income households, assist in the comple-
tion of applications, conduct required interviews, secure requu*ed
verification, forward completed applications and supporting docu-
mentation to the State agency, and provide other services as required
by the State agenpy. Such services shall not include making final
decisions on household eligibility or benefit levels.".
BONIMUM MANDATORY COURT SENTENCE FOR CRIMINAL OFFENSES;
WORK RESTITUTION PROGRAM
SEC. 1324. Subsections (b) and (c) of section 15 of the Food Stamp
7 use 2024 Act of 1977 are amendedtoread as follows:
"(bXD Subject to the provisions of paragraph (2) of this subsection,
whoever knowingly uses, transfers, acquires, alters, or possesses
coupons or authorization cards in any manner not authorized by this
Act or the regulations issued pursuant to this Act shall, if such
coupons or authorization cards are of a value of $100 or more, be
guilty of a feloiw and shaU, upon thefirstconviction thereof, be fined
not more than $10,000 or imprisoned for not more than five years, or
both, and, upon the second and any subsequent conviction thereof,
shall be imprisoned for not less than six months nor more than five
years and ma^ also befinednot more than $10,000 or, if such coupons
or authorization cards are of a value of less than $100, shall be guilty
of a misdemeanor, and, upon the first conviction thereof, shall be
fined not more than $1,000 or imprisoned for not more than one year,
or both, and upon the second and any subsequent conviction thereof,
shall be imprisoned for not more than one year and may also be fined
not more than $1,000. In addition to such penalties, any person
convicted of a felony or misdemeanor violation under this subsection
may be suspended by the courtfiromparticipation in the food stamp
program for an additional period of up to eighteen months consecu-
tive to that period of suspension mandated by section 60>X1) of this
Ante, p. 362. Act.
"(2) In the case of any individual convicted of an ofiTense under
paragraph (1) of this subsection, the court may permit such individual
to perform work approved by the court for the ourpose of providing
restitution for losses incurred by the United States and the Stete
agency as a result of the ofiense for which such individual was
convicted. If the court permits such individual to perform such work
and such individual agrees thereto, the court shall witUiold the
imposition of the sentence on the condition that such individual
perform the assigned work. Upon the successful completion of the
assi|gned work the court may suspend such sentence.
"MC) Whoever presents, or causes to be presented, coupons for
payment or redemption of the value of $100 or more, knowing the
same to have been received, transferred, or used in any manner in
violation of the provisions of this Act or the r^nilations issued
pursuant to this Act, shall be guilty of a felony and, upon the first
conviction thereof, shall be fined not more than $10,000 or impris-
oned for not more than five years, or both, and, u^n the second and
any subsequent conviction thereof, shall be imprisoned for not less
than one year nor more than five years and may also be fined
not more than $10,000, or, if such coupons are of a value of
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1289
less than $100, shall be guilty of a misdemeanor and, upon the first
conviction thereof, shall be fined not more than $1,000 or imprisoned
for not more than one year, or both, and, upon the second and any
subsequent conviction thereof, shall be imprisoned for not more than
one year and may also be fined not more than $1,000. In addition to
such penalties, any person convicted of a felony or misdemeanor
violation under this subsection may be suspended by the court from
participation in the food stamp program for an additional period of
up to eighteen months consecutive to that period of suspension
mandated by section 6(bXl) of this Act.". ^"««. P 362.
STAFFING
SEC. 1325. Section 16(bXl) of the Food Stamp Act of 1977 is amended 7 use 2025.
by striking out ", including, but not limited to, staffing standards
such as caseload per certification worker limitations,".
INCENTIVES FOR ERROR REDUCTION EFFORTS AND CORRECTIVE ACTION
PLANS
SEC. 1326. Section 16 of the Food Stamp Act of 1977 is amended b y -
CD inserting before the period at the end of the first sentence of
subsection (c) the following: ", and, effective October 1, 1981,
which also meets the standard contained in paragraph (IXB) of
this subsection"; and
(2) striking out "October 1, 1978" in subsection (d) and insert-
ing in lieu thereof "October 1,1981", and by inserting "(2)" after
"subsection (c)".
SOCIAL SECURITY ACCOUNT NUMBERS
SEC. 1327. The first sentence of section 16(f) of the Food Stamp Act
of 1977 is amended by striking out "may" and inserting in lieu
thereof "shall".
EXTENDING AND AMENDING CASH-OUT PILOT PROJECTS
SEC. 1328. Section 17(bXl) of the Food Stamp Act of 1977 is amended '7 USC 2026.
to read as follows:
"(bXD The Secretary may conduct on a trial basis, in one or more
areas of the United States, pilot or experimental projects designed to
test program changes that might increase the efficiency of the food
stamp program and improve the delivery of food stamp benefits to
eligible households, including projects involving the payment of the
value of allotments or the average value of allotments by household
size in the form of cash to eligible households all of whose members
are age sixty-five or over or any of whose members are entitled to
supplemental security income benefits under title XVI of the Social
Security Act or to aid to families with dependent children under part 42 USC 1381.
A of title IV of the Social Security Act, the use of countersigned food 42 USC 601.
coupons or similar identification mechanisms that do not invade a
household's privacy, and the use of food checks or other voucher-type
forms in place of food coupons. The Secretary may waive the
requirements of this Act to the degree necessary for such projects to
be conducted, except that no project, other than a project involving
the payment of the average value of allotments by household size in
the form of cash to eligible households, shall be implemented which
would lower or further restrict the income or resource standards or
benefit levels provided pursuant to sections 5 and 8 of this Act. Any '? use 2014,
95 STAT. 1290 PUBLIC LAW 97-98—DEC. 22, 1981
pilot or experimental project implemented under this paragraph and
operating as of October 1,1981, involving the payment of the value of
allotments in the form of cash to eligible households all of whose
members are either age sixty-five or over or entitled to supplemental
42 u s e 1381. security income benefits under title XVI of the Social Security Act
shall be continued until October 1, 1985, if the State so requests.".
NUTRITIONAL MONITORING
7 u s e 2026. SEC. 1329. Section 17(c) of the Food Stamp Act of 1977 is amended
by adding at the end thereof the following: "Further, the Secretary
shall, by way of making contracts with or grants to public or private
organizations or agencies, implement pilot programs to test various
means of measuring on a continuing basis the nutritional status of
low income people, with specisQ emphasis on people who are eligible
for food stamps, in order to develop minimum common criteria and
methods for systematic nutrition monitoring that could be applied on
a nationwide basis. The locations of the pilot programs shall be
selected to provide a representative geographic and demographic
cross-section of political subdivisions that reflect natural usage pat-
terns of health and nutritional services and that contain high
Report and proportions of low income people. The Secretary shall report on the
recommenda- progress of these pilot programs on an annual basis commencing on
tions to
congressional July 1, 1982, to the Committee on Agriculture of the House of
committees. Representatives and the Committee on Agriculture, Nutrition, and
Forestry of the Senate, together with such recommendations as the
Secretary deems appropriate.".
PILOT PROJECTS TO SIMPLIFY THE PROCESSING OP APPUCATIONS FOR
CERTAIN AFDC, SSI, AND MEDICAID RECIPIENTS
7 u s e 2026. SEC. 1330. Section 17 of the Food Stamp Act of 1977 is amended by
adding at the end thereof a new subsection as follows:
"(f) The Secretary may conduct no more than two statewide pilot
projects (upon the request of a State) and no more than fourteen pilot
projects in political subdivisions of States (upon the request of any
sucn political subdivision) in which households that include one or
more recipients of aid to families with dependent children under part
42 u s e 601. A of title IV of the Social Securitjr Act, of supplemental security
42 u s e 1381. income under title XVI of the Social Security Act, or of medical
42 u s e 1396. assistance under title XIX of the Social Security Act, and whose
income does not exceed the applicable income standard of eligibility
described in section 5(c) of this Act shall be deemed to satisfy the
application requirements prescribed under section 5(a) of this Act
and the income and resource requirements prescribed under sub-
7 u s e 2014. sections (d) through (g) of section 5 of this Act. For any pilot project
carried out under this subsection, allotments provided pursuant
7 u s e 2017. to section 8(a) of this Act shall be based upon household size and
42 u s e 601. (1) benefits paid to such household under part A of title IV or title
42 u s e 1381. XVI of the Social Security Act, or (2) income as determined for
42 u s e 1396. eligibility under title XIX of the Social Security Act, or at the
option of the political subdivision or the State, the standard of
need for such size household under such programs, except that
the Secretary shall adjust the value of such allotments as may
be necessary to ensure that the average allotment by household
size for households participating in such pilot project and receiving
such aid to families with dependent children, such supplemental
security income, or such medical assistance, as the case
may be, is not less than the average allotment which would
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1291
have been provided under this Act but for the operation of this
subsection, for each category of households, respectively, in such pilot
project area, for any period during which such pilot project is in
operation. The Secretary shall evaluate the impact of such pilot
projects on recipient households, administrative costs, and error
rates. The administrative costs of such projects shall be shared in
accordance with the provisions of section 16 of this Act. In imple- ^ use 2025.
menting this section, the Secretary shall consult with the Secretary
of Health and Human Services to ensure that to the extent practica-
ble, in the case of households participating in such pilot projects, the
processing of applications for, and determinations of eligibility to
receive, food stamp benefits are simplified and are unified with the
processing of applications for, and determinations of eligibility to
receive, benefits under such titles of the Social Security Act.". 42 use 1305.
FOOD STAMP FUNDING AND PROGRAM EXTENSION
SEC. 1331. Section 18(a) of the Food Stamp Act of 1977 is amended in 7 use 2027.
the first sentence thereof by—
(1) striking out "and'^' after "September 30,1980;"; and
(2) inserting before the period at the end thereof the following:
"; and not in excess of $11,300,000,000 for the fiscal year ending
September 30,1982".
INCENTIVES, SANCTIONS, AND CLAIMS
SEC. 1332. Section 18 of the Food Stamp Act of 1977 is amended by
adding a new subsection as follows:
"(e) Funds collected from claims against households or State
agencies, including claims collected pursuant to sections 7(f), 11(g)
and (h), 13(b), and 16(g) of this Act, claims resulting from resolution of Ante, p. 1285.
audit findings, and claims collected from households receiving overis- ^ u^^ 2020.
suances, shall be credited to the food stamp program appropriation 7 usc^2025
account for the fiscal year in which the collection occurs. Funds
provided to State agencies under section 16(c) of this Act shall be paid
from the appropriation account for the fiscal year in which the funds
are provided.".
WORKFARE
SEC. 1333. The Food Stamp Act of 1977 is amended by adding at the
end thereof a new section as follows:
"WORKFARE
"SEC. 20. (a) The Secretary shall permit any political subdivision, in ? use 2029.
any State, that applies and submits a plan to the Secretary in
compliance with guidelines promulgated by the Secretary to operate
a workfare program pursuant to which every member of a household
participating in the food stamp program who is not exempt by virtue
of the provisions of subsection (b) of this section shall accept an offer
from such subdivision to perform work on its behalf, or may seek an
offer to perform work, in return for compensation consisting of the
allotment to which the household is entitled under section 8(a) of this
Act, with each hour of such work entitling that household to a portion 7 use 2017.
of its allotment equal in value to 100 per centum of the higher of the
applicable State minimum wage or the Federal minimum hourly rate
under the Fair Labor Standards Act of 1938. 29 use 201.
"(b) The household members who shall be exempt from workfare
requirements are those who are either (1) mentally or physically
95 STAT. 1292 PUBLIC LAW 97-98—DEC. 22, 1981
unfit; (2) under eighteen ^ears of age; (3) sixty years of age or over; (4)
subject to and currently involved at least twenty hours a week in a
work training program under a work registration requirement pursu-
42 use 601. ant to title IV of tne Social Security Act; (5) a parent or other member
of a household with responsibility for the care of a child under age six
or of an incapacitated person; (6) a parent or other caretaker of a
child in a household where there is another member who is subject to
the requirements of this subsection or is employed full time; (7) a
regular participant in a drug addiction or alcoholic treatment and
rehabilitation program; or (8) an individual described in section
7 use 2015. 6(d)(2) (D) or (F) of this Act.
"(c) No operating agency shall require any participating member to
work in any workfare position to the extent that such work exceeds in
value the allotment to which the household is otherwise entitled or
that such work either exceeds twenty hours a week or would,
together with any other hours worked in any other compensated
capacity by such member on a regular or predictable part-time basis,
exceed thirty hours a week.
"(d) The operating agency shall—
"(1) not provide any work that has the effect of replacing or
preventing the employment of an individual not participating in
the workfare program;
"(2) provide the same benefits and working conditions that are
provided at the job site to employees performing comparable
work for comparable hours; and
"(3) reimburse participants for actual costs of transportation
and other actual costs all of which are reasonably necessary and
directly related to participation in the program but not to exceed
$25 in the aggregate per month.
"(e) The operating agency may allow a job search period, prior to
making workfare assi^ments, of up to thirty days following a
determination of eligibility.
"(f) In the event that any person fails to complv with the require-
ments of this section, neither that person nor the household to which
that person belongs shall be eligible to participate in the food stamp
program for two months, unless that person or another person in the
household satisfies all outstanding workfare obligations prior to the
end of the two-month disqualification period.
"(gXD The Secretary shall pay to each operating agency 50 per
centum of all administrative expenses incurred by such agency in
operating a workfare program, including reimbursements to partici-
pants for work-related expenses as described in subsection (dX3) of
this section.
"(2) The Secretary may suspend or cancel some or all of these
payments, or may withdraw approval from a political subdivision to
operate a workfare program, upon a finding that the subdivision has
failed to comply with the workfare requirements.".
EXTENSION OP AUTHORITIES, PENALTIES FOR FRAUD, AND
MISCELLANEOUS PROVISIONS
SEC. 1334. Effective October 1, 1981, section 4 of the Agriculture
7 use 612c note, and Consumer Protection Act of 1973 is amended by—
(1) striking out "1978, 1979, 1980, and 1981", in the first
sentence of subsection (a) and inserting in lieu thereof: "1982,
1983,1984, and 1985"; and
(2) adding a new subsection as follows:
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1293
"(c) Whoever embezzles, willfully misapplies, steals or obtains by
fraud any agricultural commodity or its products (or any funds,
assets, or property deriving from donation of such commodities)
provided under ttas section, or under section 416 of the Agricultural
Act of 1949 (7 U.S.C. 1431), section 32 of the Act of August 24,1935 (7
U.S.C. 612c), or section 709 of the Food and Agriculture Act of 1965 (7
U.S.C. 1446a-l), whether received directly or indirectly from the
United States Department of Agriculture, or whoever receives, con-
ceals, or retains such commodities, products, funds, assets, or proper-
ty for personal use or gain, knowing such commodities, products,
funds, assets, or property have been embezzled, willfully misapplied,
stolen, or obtained by fraud shall, if such commodities, products,
funds, assets, or property are of a value of $100 or more, be fined not
more than $10,000 or imprisoned not more than five years, or both, or
if such commodities, products, funds, assets, or property are of value
of less than $100, shedl be fined not more than $1,000 or imprisoned
for not more than one year, or both."
COMMODITY SUPPLEMENTAL FOOD PROGRAM—PILOT PROJECTS FOR THE
ELDERLY AND ADMINISTRATIVE COSTS
SEC. 1335. Effective October 1,1981, section 5(a) of the Agriculture
and Consumer Protection Act of 1973 is amended to read as follows: '^ use 6i2c note.
"(a) In carrying out the supplemental feeding program (hereinafter
referred to as the 'commodity supplemental food program') under
section 4 of this Act, the Secretary (1) may institute two pilot projects '^ use 6i2c note.
directed at low-income elderly persons, including, where feasible,
distribution of commodities to such persons in their homes, which
projects shall operate no longer than two years, and (2) shall provide
to the State agencies administering the commodity supplemental
food program, for each of the fiscal years 1982 through 1985, funds
appropriated from the general fund of the Treasury in amounts equal
to the administrative costs of State and local agencies in operating
the program, except that the funds provided to State agencies each
fiscal year may not exceed 15 per centum of the amount appropriated
for the provision of commodities to State agencies.".
POOD DISTRIBUTION PROGRAM FOR CERTAIN INDIAN HOUSEHOLDS
SEC. 1336. Notwithstanding any other provision of law, the Secre-
tary of Agriculture may establish a food distribution pro-am in the
State of Oklahoma to provide food commodities to eligible Indian
households and such other households as the Secretary determines
appropriate in connection therewith. In determining eligibility for
such program the Secretary may take into account such consider-
ations as (1) the extent and nature of the governmental jurisdiction
which a tribal organization exercises or has authority to exercise over
the land on which the household resides; (2) whether the household
resides in "Indian country" as defined in section 1151 of title 18,
United States Code; (3) whether the household resides within an
Indian service area designated by the Bureau of Indian Affairs,
United States Department of the Interior; (4) the tribal membership
or Indian status of persons in the household; and (5) whether the
household resides in an urban area. The Secretary shall not allow any
tribal oiganization to administer such distribution of commodities
unless the Secretary determines that the tribal organization is
capable of effectively and efficiently administering such distribution
over defined geographic areas. The Secretary may pay such amounts
95 STAT. 1294 PUBLIC LAW 97-98—DEC. 22, 1981
for administrative costs of such distribution as the Secretary finds
necessary for effective and efficient administration of such distribu-
tion by a tribal organization. No household shall be eligible to
participate simultaneously in the food stamp program under the
7 use 2011 note. Food Stamp Act of 1977 and in the food distribution program
established under authority of this section.
AUTHORITY OP OFFICE OF INSPECTOR GENERAL
7 use 2270. SEC. 1337. Any person who is employed in the Office of the
Inspector CJeneral, Department of Agriculture, who conducts investi-
gations of alleged or suspected felony criminal violations of statutes,
including but not limited to the Food Stamp Act of 1977, administered
by the Secretary of Agriculture or any £igency of the Department of
Agriculture and who is designated by the Inspector General of the
Department of Agriculture may—
(1) make an arrest without a warrant for any such criminal
felony violation if such violation is committed, or if such
employee has probable cause to believe that such violation is
being committed, in the presence of such employee;
(2) execute a warrant for an arrest, for the search of premises,
or the seizure of evidence if such warrant is issued under
authority of the United States upon probable cause to believe
that such violation has been committed; and
(3) carry a firearm;
in accordance with rules issued by the Secretary of Agriculture, while
such employee is engaged in the performance of official duties under
the authority provided in section 6, or described in section 9, of the
5 use app. Inspector General Act of 1978 (5 U.S.C. App. 6, 9). The Attorney
General of the United States may disapprove any designation made
by the Inspector General under this section.
EFFECTIVE DATE
7 use 2012 note. SEC. 1338. Except as otherwise specifically provided, the amend-
ments made by this title shall be effective upon such dates as the
Secretary of Agriculture may prescribe, taking into account the need
for orderly implementation.
TITLE XIV—NATIONAL AGRICULTURAL RESEARCH, EXTEN-
SION, AND TEACHING POLICY ACT AMENDMENTS OF 1981
SHORT TITLE
7 use 3101 note. SEC. 1401. This title may be cited as the "National Agricultural
Research, Extension, and Teaching Policy Act Amendments of 1981".
FINDINGS
SEC. 1402. Section 1402 of the National Agricultural Research,
Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3101) is amended
by-
(1) striking out "and" at the end of paragraph (8) and
changing the period at the end of paragraph (9) to a semicolon;
and
(2) adding new parsigraphs (10) and (11) at the end thereof as
follows:
"(10) it is and has been the policy of the United States to
support food and agricultural research, extension, and teaching
in the broadest sense of these terms. The partnership between
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1295
the Federal Government and the States, as consummated in
legislation and cooperative agreements, and the cooperative
nature of efforts to implement this policy in cooperation with the
food and agricultural industry has been eminently successful.
Cooperative research, extension, and teaching programs have
provided the United States with the most proiductive and effi-
cient food and agricultural system in the world. This system is
the basis of our national affluence and it provides vast amounts
of food and fiber to other people around the world. However, the
food and agricultural system is dynamic and constantly chang-
ing. The research, extension, and teaching programs that sup-
port the food and agricultural system must be maintained and
constantly adjusted to meet ever c h a n ^ g challenges. National
support of cooperative research, extension, and teaching efforts
must be reaffirmed and expanded at this time to meet major
needs and challenges in the following areas:
"(A) FOOD AND AGRICULTURAL SYSTEM PRODUCTIVITY.—
Increases in agricultural productivity have been outstanding,
however, productivity growth in the past decade has slowed.
It is imperative that improved technologies and manage-
ment systems be developed to maintain and enhance agricul-
tural productivity in order for agricultural production in the
United States to meet the demand of a rising world popula-
tion, rising costs of production, and limitations on energy
consumption. Improved productivity in food and agricultur-
al processing and marketing sectors is a critical need in the
national effort to achieve a strong economy.
"(B) DEVELOPMENT OF NEW FOOD, FIBER, AND ENERGY
SOURCES.—^Programs to identify and develop new crop and
animal sources of food, fiber, and energy must be under-
taken to meet future needs.
"(C) AGRICULTURAL ENERGY USE AND PRODUCTION.—
Much of the current agricultural technology is relatively
energy intensive. It is critical that alternative technologies
be developed to increase agricultural energy efficiency and
to reduce dependence on petroleum based products. Further-
more, agriculture provides the United States with alterna-
tive potential sources of energy that must be assessed and
developed.
"(D) NATURAL RESOURCES.—Improved management and
conservation of soil, water, forest, and range resources are
vital to maintain the resource base for food and fiber produc-
tion. An expanded program in the area of soil and water con-
servation research is needed to develop more economical and
effective conservation systems. Five key objectives of this
research are:
"(i) sustaining soil productivity;
**(ii) developing more cost-effective and practical con-
servation technologies;
"(iii) managing water in stressed environments;
"(iv) protecting the quality of the Nation's surface
water and groundwater resources; and
"(v) establishing integrated multidisciplinaiy organic
farming research projects designed to foster the imple-
mentation of the major recommendations of the Depart-
ment of Agriculture Report and Recommendations on
Organic Farming, July 1980.
95 STAT. 1296 PUBLIC LAW 97-98—DEC. 22, 1981
"(E) PROMOTION OF THE HEALTH AND WELFARE OF
PEOPLE.—The basic objectives of food and agricultural
research, extension, and teaching programs are to make the
maximum contribution to the health and welfare of people
and to the economy of the United States through the
enhancement of owner-operated family farms, to improve
community services and institutions, to increase the quality
of life in rural America, and to improve the well-being of con-
sumers. The rapid rate of social change, economic insta-
bility, and current energy problems increase the need for
expanded programs of research and extension in family
financial management, housing and home energy consump-
tion, food preparation and consumption, human development
(including youth programs), and development of community
services and institutions.
"(F) HUMAN NUTRITION.—^The challenge to meet the food
needs of the world continues, but there is an increasing need
to address nutrition research and educational issues associ-
ated with diet resulting from changing life styles and with
respect to special groups such as the elderly, teenagers,
infants, and pregnant women.
"(G) INTERNATIONAL FOOD AND AGRICULTURE.—^The
greatest challenge facing mankind through the next two
:^ decades will be to produce adequate food for an expanding
•'[ i« world population. This challenge demands a dedicated effort
by the Federal Government and the State cooperative insti-
tutions, and other colleges and universities to expand inter-
national food and agricultural research, extension, and
teaching proM*ams. Improved cooperation and communica-
tions by the Department of Agriculture and the cooperators
with international agricultural research centers, counterpart
agencies and universities in other countries, is necessary to
improve food and agricultural progress throughout the
world; and
"(11) long-range planning for research, extension, and teach-
ing is a key element in meeting the objectives of this title;
accordingly, all of the elements in the food and agTicultural
science and education system are encouraged to expand their
planning and coordination efforts.".
PURPOSES
SEC. 1403. Section 1403 of the National Agricultural Research,
Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3102) is amended
by—
(1) amending paragraph (2) to read as follows:
"(2) undertake the special measures set forth in this title to
improve the coordination and planning of agricultural research,
extension, and teaching programs, identify needs and establish
priorities for these programs, assure that national agricultural
research, extension, and teaching objectives are fully achieved,
and assure that the results of agricultural research are effec-
tively communicated and demonstrated to farmers, processors,
handlers, consumers, and all other users who can benefit
therefi'om;";
(2) striking out in paragraph (4) the comma after "programs"
the first time it appears and striking out "including the initia-
tives specified in section 1402(8) of this title,";
(3) striking out "scientific" in paragraph (5); and
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1297
(4) striking out "training and research" in paragraph (7) and
inserting in Ueu thereof research, extension, and teaching".
DEFINITIONS
SEC. 1404. Section 1404 of the National Agricultural Research,
Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3103) is amended
by-
(1) amending paragraph (8) to read as follows:
"(8) the term 'food and agricultural sciences' means basic,
applied, and developmental research, extension, and teaching
activities in the food, agricultural, renewable natural resources,
forestry, and physical and social sciences, in the broadest sense of
these terms, including but not limited to, activities relating to:
"(A) agriculture, including soil and water conservation
and use, the use of organic waste materials to improve soil
tilth and fertility, plant and animal production and protec-
tion, and plant and animal health;
"(B) the processing, distributing, marketing, and utiliza-
tion of food and agricultural products;
"(C) forestry, including range management, production of
forest and range products, multiple use of forest and range-
lands, and urban forestry;
"(D) aquaculture;
"(E) home economics, including consumer affairs, food and
nutrition, clothing and textiles, housing, and family well-
being and financial management;
"(F) rural community welfare and development;
"(G) youth development, including 4-H clubs;
"(H) domestic and export market expansion for United
States agricultural products; and
"(I) production inputs, such as energy, to improve produc-
tivity;^';
(2) amending paragraph (12) to read as follows:
"(12) the term 'State* means any one of the fifty States, the
Commonwealth of Puerto Rico, Guam, American Samoa, the
Commonwealth of the Northern Marianas, the Trust Territory of
the Pacific Islands, the Virgin Islands of the United States, and
the District of Columbia;";
(3) striking out "and" immediately after the semicolon in
paragraph (13);
(4) amending paragraph (14) to read as follows:
"(14) the term 'teaching' means formal classroom instruction,
laboratory instruction, and practicum experience in the food and
agricultural sciences and matters relating thereto (such as fac-
ulty development, student recruitment and services, curriculum
development, instructional materials and equipment, and inno-
vative teaching methodologies) conducted by colleges and univer-
sities offering baccalaureate or higher degrees;";
(5) adding at the end thereof new paragraphs (15) and (16) as
follows:
"(15) the term 'cooperating forestry schools' means those
institutions eligible to receive funds unaer the Act of October 10,
1962 (16 U.S.C. 582a et seq.), commonly known as the Mclntire-
Stennis Act of 1962; and
"(16) the term 'State cooperative institutions* or 'State cooper-
ative agents' means institutions or agents designated by—
95 STAT. 1298 PUBLIC LAW 97-98—DEC. 22, 1981
"(A) the Act of July 2,1862 (7 U.S.C. 301 et seq.), commonly
known £is the First Morrill Act;
"(B) the Act of August 30, 1890 (7 U.S.C. 321 et seq.),
commonly known as the Second Morrill Act, including the
Tuskegee Institute;
"(C) the Act of March 2, 1887 (7 U.S.C. 361a et seq.),
commonly known as the Hatch Act of 1887;
"(D) the Act of May 8,1914 (7 U.S.C. 341 et seq.), commonly
known as the Smith-Lever Act;
"(E) the Act of October 10, 1962 (16 U.S.C. 582a et seq.),
commonly known as the Mclntire-Stennis Act of 1962; and
7 use 3191. "(F) subtitles E, L, and M of this title;".
Post, p. 1316,
RESPONSIBIUTIES OF THE SECRETARY AND COORDINATING ROLE OF THE
DEPARTMENT OF AGRICULTURE
SEC. 1405. Section 1405 of the National Agricultural Research,
Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3121) is amended
by-
(1) striking out "Secretary of Health, Education, and Welfare"
in paragraph (1) and inserting in lieu thereof "Secretary of
Health and Human Services";
(2) striking out "other" in paragraph (5);
(3) inserting "or proposed" in paragraph (6) after "actions
taken";
(4) striking out "and" at the end of paragraph (8);
(5) striking out the period in paragraph (9) and inserting in lieu
thereof a semicolon; and
(6) adding at the end thereof the following new paragraphs:
"(10) coordinate all agricultural research, extension, and
teaching activities conducted or financed by the Department of
Agriculture with the periodic renewable resource assessment
and program provided for in sections 3 and 4 of the Forest and
16 use 1601, Rangeland Renewable Resources Planning Act of 1974 and the
^°^^ appraisal and program provided for in sections 5 and 6 of the Soil
16 use 2004, and Water Resources Conservation Act of 1977; and
^^^^- "(11) take the initiative in overcoming barriers to long-range
planning by developing, in conjunction with the States, State
cooperative institutions, the Joint Council, the Advisory Board,
and other appropriate institutions, a long-term needs assessment
for food, fiber, and forest products, and by determining the
research requirements necessary to meet the identified needs.".
SUBCOMMITTEE ON FOOD, AGRICULTURAL, AND FORESTRY RESEARCH
SEC. 1406. (a) Section 1406 of the National Agricultural Research,
42 use 6651. Extension, and Teaching Policy Act of 1977 is amended by striking
out the title and inserting in lieu thereof "Subcommittee on Food,
Agricultural, and Forestry Research".
(b) Section 401(h) of the National Science and Technology Policy,
Organization, and Priorities Act of 1976 (42 U.S.C. 6651(h)) is
amended by—
(1) striking out "Subcommittee on Food and Renewable
Resources" and inserting in lieu thereof "Subcommittee on Food,
Agricultural, and Forestry Research";
(2) striking out "Department of Health, Education, and Wel-
fare" and inserting in lieu thereof "Department of Health and
Human Services"; and
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1299
(3) striking out "Energy Research and Development Adminis-
tration" and inserting in lieu thereof "Department of Energy",
(c) Section 257(b) of the Energy Security Act (42 U.S.C. 8852(b)) is
amended in paragraph (1) by striking "Subcommittee on Food and
Renewable Resources" and inserting in lieu thereof "Subcommittee
on Food, Agricultural, and Forestry Research".
JOINT COUNCIL ON FOOD AND AGRICULTURAL SCIENCES
SEC. 1407. (a) Section 1407(a) of the National Agricultural Research,
Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3122(a)) is
amended by striking out "of five years" and inserting in lieu thereof
"that expires September 30,1985'\
(b) Section 1407(b) of the National Agricultural Research, Exten-
sion, and Teaching Policy Act of 1977 (7 U.S.C. 3122(b)) is amended to
read as follows:
"(b) The Joint Council shall be composed of not fewer than twenty-
five representatives of organizations or agencies which conduct or
assist in conducting programs of research, extension, or teaching in
the food and agricultural sciences, including State cooperative
institutions; other colleges and universities having a demonstrable
capacity to carry out food and agricultural research, extension, or
teaching; agencies within the Department of Agriculture which have
significant research, extension, or teaching responsibilities; the
Office of Science and Technology Policy; other Federal agencies
determined by the Secretary to be appropriate, and other public and
private institutions, producers, and representatives of the public who
are interested in and have a potential to contribute, as determined by
the Secretary, to the formulation of national policy in the food and
agricultural sciences. Members shall be appointed for a term of up to
three years by the Secretary from nominations made by the organiza-
tions and agencies described in the preceding sentence. The terms of
members shall be staggered. To ensure that regional differences are
properly considered, at least one-half of the members of the Joint
Council shall be appointed by the Secretary from among distin-
guished persons engaged in agricultural research, extension, or
teaching programs at land-grant colleges and universities and State
agricultural experiment stations. To ensure that other agricultural
institutional views are considered by the Joint Council, two of the
members of the Joint Council shall be appointed by the Secretary
from among persons who are distinguished representatives of other
colleges and universities having a demonstrable capacity to carry out
food and agricultural research, extension, or teaching. The Joint
Council shall be jointly chaired by the Assistant Secretary of Agricul-
ture responsible for research, extension, and teaching, and a person
to be elected from among the non-Federal membership of the Joint
Council.".
(c) Section 1407(dXl) of the National Agricultural Research, Exten-
sion, and Teaching Policy Act of 1977 (7 U.S.C. 3122(d)(1)) is amended
to read as follows:
"(1) The primary responsibility of the Joint Council is to bring
about more effective research, extension, and teaching in the food
and agricultural sciences in the United States by improving planning
and coordination of publicly and privately supported food and agri-
cultural science activities and by relating Federal budget develop-
ment and program management to these processes.".
(d) Section 1407(d)(2)(E) of the National Agricultural Research,
Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3122(d)(2)(E)) is
95 STAT. 1300 PUBLIC LAW 97-98—DEC. 22, 1981
amended by striking out "efforts" and all that follows through
"planning, and inserting in lieu thereof "in the food and agricul-
tural sciences, by using, wherever possible, the existing regional
research, extension, andf teaching oi^anizations of State cooperative
institutions to provide r ^ o n a l planning and coordination,".
(e) Section 1407(dX2XG) of the National Agricultural Research,
Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3122(dX2XG)) is
amended to read as follows:
Report. "(G) submit a report—
"(i) not later than June 30 of each year, specifying the
Joint Council's recommendations on priorities for food and
agricultural research, extension, and teaching programs;
delineating si^gested areas of responsibility among Federal,
State, and private organizations in carrying out such pro-
grams; and specifying the levels of financial and other
support needed to carry out such programs;
"(ii) not later than November 30 of each year, specifying
ongoing research, extension, and teaching programs; accom-
plishments of such programs; and future expectations of
these programs; and
"(iii) not later than June 30, 1983, outlining a five-year
plan for food and agricultural sciences that reflects the
coordinated views of the research, extension, and teaching
community; and updating this plan every two years there-
after.
Each such report shall be submitted to the Secretary of Agricul-
ture. Minority views, if timely submitted, shall be included in
such report.".
(f) Section 1407 of the National Agricultural Research, Extension,
and Teaching Policv Act of 1977 (7 U.S.C. 3122) is amended by adding
at the end thereof the following new subsections:
Open meetings. "(e) The meetings of the Joint Council shall be publicly announced
in advance and shall be open to the public. Appropriate records of the
activities of the Joint Council shall be kept and made available to the
public on request.
"(f) The Federal Advisory Committee Act (5 U.S.C. App.) and title
7 u s e 2281. XVni of the Food and Agriculture Act of 1977 shall not appl^ to the
Joint Council.".
NATIONAL AGRICULTURAL RESEARCH AND EXTENSION USERS ADVISORY
BOARD
SEC. 1408. (a) Section 1408(a) of the National Agricultural Research,
Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3123(a)) is
amended by striking out "of five years" and inserting in lieu thereof
"that expires September 30,1985'\
(b) Section 14O80t)) of the National Agricultural Research, Exten-
sion, and Teaching Policy Act of 1977 (7 U.S.C. 3123(b)) is amended
by—
(1) striking out "twenty-one" and inserting in lieu thereof
"twenty-five and inserting "to serve staggered terms" after
"Secretary"; and
(2) amending paragraph (1) to read as follows:.
"(1) eight members representing producers of agricultural,
forestry, and aquacultural products, from the various geographi-
cal regions,"
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1301
(c) Section 1408(fX2) of the National Agricultural Research, Exten-
sion, and Teaching Policy Act of 1977 (7 U.S.C. 3123(fK2)) is amended
by-
CD striking out "October 31" in subparagraph (E) and inserting
in lieu thereof "July 1"; and
(2) striking out "March 1 o f in subparagraph (F) and inserting
in lieu thereof "February 20 of.
EXISTING RESEARCH PRCKiRAMS
SEC. 1409. Section 1409 of the National Agricultural Research,
Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3124) is amended
by striking out "Health, Education, and Welfare" each time it
appears and inserting in lieu thereof "Health and Human Services".
FEDERAIrSTATE PARTNERSHIP
SEC. 1410(a). The National Agricultural Research, Extension, and
Teaching Policy Act of 1977 (7 U.S.C. 3101 et seq.) is amended by
adding a new section as follows:
"FEDERAL-STATE PARTNERSHIP AND COORDINATION
"SEC. 1409A. (a) A unique partnership arrangement exists in food '^ use 3i24a.
and agricultural research, extension, and teaching between the
Federal Government and the governments of the several States
whereby the States have accepted and have supported, through
l^islation and appropriations—
"(1) research programs under—
"(A) the Act of March 2, 1887 (7 U.S.C. 361a et seq.),
commonly known as the Hatch Act of 1887;
"(B) the Act of October 10, 1962 (16 U.S.C. 582a et seq.),
commonly known as the Mclntire-Stennis Act of 1962;
"(C) subtitle E of this title; and 7 use 3i9i.
"(D) subtitle G of this title; 7 use 3221.
"(2) extension programs under subtitle G of this title and the
Act of May 8,1914 (7 U.S.C. 341 et seq.), commonly known as the
Smith-Lever Act; and
"(3) teaching p n ^ a m s under—
"(A) the Act of July 2,1862 (7 U.S.C. 301 et seq.), commonly
known as the First Morrill Act;
"(B) the Act of August 30, 1890 (7 U.S.C. 321 et seq.),
commonly known as the Second Morrill Act; and
"(C) the Act of June 29, 1935 (7 U.S.C. 329), commonly
known as the Bankhead-Jones Act.
This partnership in publicly supported agricultural research, exten-
sion, and teachmg involving the programs of Federal agencies and
the programs of the States has played a major role in the outstanding
successes achieved in meeting the varied, dispersed, and in many
cases, site-specific needs of American agriculture. This partnership
must be preserved and enhanced.
"(b) In order to promote research and education in food and human
nutrition, the Secretary may establish cooperative human nutrition
centers to focus resources, facilities, and scientific expertise on
particular high priority nutrition problems identii^ed by the Depart-
ment. Such centers shall be established at State cooperative institu-
tions; and at other collies and universities, having a demonstrable
capacity to carry out human nutrition research and education.
95 STAT. 1302 PUBLIC LAW 97-98—DEC. 22, 1981
"(c) In order to meet the increasing needs of consumers and to
promote the health and welfare of people, the Secretary shall ensure
that the cooperative research, extension, and teaching programs of
the various States adequately address the challenges described in
Ante, p. 1294. paragraph (10) of section 1402 of this title. The Secretary may
implement new cooperative initiatives in home economics and
related disciplines to address such challenges.".
0)) The table of contents of the Food and Agriculture Act of 1977 is
amended by inserting immediately after the item relating to section
1409 the following new item:
"Sec. 1409A. Federal-State partnership and coordination.".
SECRETARY'S REPORT
SEC. 1411. Section 1410 of the National Agricultural Research,
Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3125) is amended
by-
(1) striking out "February 1" and inserting in lieu thereof
"January 1";
(2) striking out "and" at the end of paragraph (2);
(3) striking out the period at the end of paragraph (3) and
inserting in lieu thereof a semicolon,and the word "and"; and
(4) adding at the end thereof a new paragraph as follows:
"(4) in the report of January 1, 1984, the Secretary's needs
assessment developed pursuant to the provisions of section
Ante, p. 1298. 1405(11) of this title.".
UBRARIES AND INFORMATION NETWORK
SEC. 1412, Section 1411 of the National Agricultural Research,
Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3126) is amended
by-
(1) striking out "and" at the end of subsection (aX4);
(2) striking out the period at the end of subsection (aX5) and
inserting in lieu thereof a semicolon and "and";
(3) adding a new paragraph at the end of subsection (a) as
follows:
"(6) the Department of Agriculture establish mutually valua-
ble working relationships with international and foreign infor-
mation and data programs."; and
(4) amending subsection (bX3) to read as follows:
"(3) providing notification about these collections on a regular
basis to the State cooperative extension services. State educa-
tional agencies, and other interested persons.".
STAFF SUPPORT FOR THE JOINT COUNCIL AND THE ADVISORY BOARD
SEC. 1413. Section 1412(a) of the National Agricultural Research,
Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3127(a)) is
amended to read as follows:
"(a) To assist the Joint (Douncil and the Advisory Board in the
performance of their duties, the Secretary may appoint, after consul-
tation with the cochairpersons of the Joint CJouncil and the chairper-
son of the Advisory Board—
"(1) a full-time executive director who shall perform such
duties as the cochairpersons of the Joint C!ouncil and the chair-
person of the Advisory Board may direct and who shall receive
compensation at a rate not to exceed the rate payable for GS-18
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1303
of the General Schedule established in section 5332 of title 5,
United States Code; and
"(2) a professional staff of not more than five full-time employ-
ees qualified in the food and agricultural sciences, of which one
shall serve as the executive secretary to the Joint Council and
one shall serve as the executive secretary to the Advisory
Board.".
GENERAL PROVISIONS; ADDITIONAL ASSISTANT SECRETARY OF
AGRICULTURE
SEC. 1414. (a) Section 1413 of the National Agricultural Research,
Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3128) is amended
by adding at the end thereof the following new subsections:
"(c) There are authorized to be appropriated annually such sums as
Congress may determine necessary to carry out the provisions of
section 1412 of this title and subsection (b) of this section. 7 use 3127.
"(d) The Subcommittee on Food, Agricultural, and Forestry Re-
search, the Joint Council, and the Advisory Board shall improve
communication and interaction among themselves and with others in
the agricultural science and education system through such mecha-
nisms as the exchange of reports, joint meetings, and the use of
liaison representatives.
"(e) The President shall appoint, by and with the advice and
consent of the Senate, an Assistant Secretary of Agriculture who
shall perform such duties as are necessary to carry out this title and
who shall receive compensation at the rate now or hereafter pre-
scribed by law for Assistant Secretaries of Agriculture.".
(b) Section 5315 of title 5, United States Code, is amended in the
item relating to Assistant Secretaries of Agriculture by striking out
"(5)" and inserting in lieu thereof "(6)".
PROGRAM FOR COMPETITIVE, SPECIAL, AND FACILITIES GRANTS FOR
AGRICULTURAL RESEARCH
SEC. 1415. (a) Section 2(b) of the Act of August 4, 1965 (7 U.S.C.
450i(b)), is amended by—
(1) inserting in the second sentence after "on Food and Agricul-
tural Sciences" the following: "and the National Agricultural
Research and Extension Users Advisory Board";
(2) inserting after the second sentence the following:
"For purposes of the preceding sentence, high priority research
shall include—
"(1) basic research aimed at the discovery of new scientific
principles and techniques that may be applicable in agriculture
and forestry;
"(2) research aimed at the development of new and innovative
products, methods, and technologies relating to biological nitro-
gen fixation, photosynthesis, and other processes which will
improve and increase the production of agricultural and forestry
resources;
"(3) basic and applied research in the fields of animal produc-
tivity and health;
"(4) basic and applied research in the fields of soil and water;
"(5) basic and applied research in the field of human nutrition;
and
"(6) research to develop new strains of crops and new promis-
ing crops, including guayule, jojoba, and others."; and
89-194 0—82 84 . Q U
95 STAT. 1304 PUBLIC LAW 97-98—DEC. 22, 1981
(3) striking out "for the fiscal year ending September 30,1982," in
the Igist sentence and inserting in lieu thereof for each of the fiscal
years ending September 30,1982, September 30,1983, September 30,
1984, and September 30,1985,".
(b) Section 2(c) of the Act of August 4, 1965 (7 U.S.C. 450i(c)) is
amended by—
(1) inserting "research foundations established by land-grant
colleges and universities," in paragraph (1) after "land-grant
colleges and universities,"; and
(2) amending paragraph (2) to read as follows:
"(2) to State agricultural experiment stations, land-grant
colleges and universities, research foundations established by
land-grant colleges and universities, colleges and universities
receiving funds under the Act of October 10,1962 (16 U.S.C. 582a
et seq.) and accredited schools or colleges of veterinary medicine,
to facilitate or expand ongoing State-Federal food and agricul-
tural research programs that (A) promote excellence in
research, (B) promote the development of regional research
centers, (C) promote the research partnership between the
Department of Agriculture and such colleges and universities,
such research foundations or State agricultural experiment
stations, or (D) facilitate coordination and cooperation of
research among States.".
(c) Section 2(d) of the Act of August 4, 1965 (7 U.S.C. 450i(d)) is
amended by—
(1) striking out "the purchase of equipment" and all that
follows through the dash and inserting in lieu thereof "the
renovation and refurbishment (including energy retrofitting) of
research spaces in buildings or spaces to be usedfor research, and
the purchase and installation of fixed equipment in such spaces.
Such grants may be used for new construction only for auxiliary
facilities and fixed equipment used for research in such facilities,
such as greenhouses, insectaries, and research farm structures
and installations. Such grants shall be made to—";
(2) striking out "available; and" in paragraph (1) and inserting
in lieu thereof "available;";
(3) striking out the period at the end of paragraph (2) and
inserting in lieu thereof a semicolon; and
(4) inserting after paragraph (2) the following new paragraphs:
"(3) each forestry school not described in paragraph (1) of this
subsection, which is eligible to receive funds under the Act of
October 10,1962 (16 U.S.C. 582a et seq.), m an amount which is
equal to 10 per centum of the funds received by such school under
that Act; and
"(4) each college eligible to receive funds imder the Act of
August 30, 1890 (7 U.S.C. 321 et seq.), including Tuskegee
Institute, in an amount which is equal to 10 per centum of the
funds received by such college under section 1445 of the National
Agricultural Research, Extension, and Teaching Policy Act of
7 use 3222. 1977.".
AMENDMENTS TO THE RESEARCH FACILITIES ACT OF 1963
SEC. 1416. Section 4(a) of the Act of July 22,1963 (7 U.S.C. 390c(a))
is amended by striking out "for the fiscal year ending September 30,
1982," and inserting in lieu thereof "for each of the fiscal years
ending September 30,1982, September 30,1983, September 30,1984,
and September 30,1985,".
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1305
APPORTIONMENT OF FUNDS APPROPRIATED FOR SCHOOLS OF
VETERINARY MEDICINE
SEC. 1417. Section 1415(cX2) of the National Agricultural Research,
Ejrtension, and Teaching Policy Act of 1977 (7 U.S.C. 3151(cX2)) is
amended by striking out the colon and the proviso.
FEDERAL SUPPORT OF HIGHER EDUCATION IN THE FOOD AND
AGRICULTURAL SCIENCES
SEC. 1418. (a) Section 1417(a) of the National Agricultural Research,
Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3152(a)) is
amended to read as follows:
"(aXD The Secretary shall promote and develop higher education
in the food and agricultural sciences by formulating and administer-
ing higher education programs.
(2) The Secretary may make grants to land-grant colleges and
universities, and to other colleges and universities having a demon-
strable capacity to carry out food and agricultural teaching, for a
period not to exceedfiveyears—
"(A) to strengthen institutional capacities to respond to State,
national, or international educational needs in the food and
agricultural sciences;
"(B) to attract students and to educate them as needed in the
food and agricultural sciences, and to attract needed profession-
als to provide for their professional improvement in the food and
agricultural sciences;
"(C) to design and implement innovative food and agricultural
educational programs; and
"(D) to facilitate cooperative agreements between two or more
eligible institutions to maximize the use of faculty and facilities
to improve their food and agricultural teaching programs.
Such grants shall be made without regard to matching funds, but
each recipient institution shall have a significant ongoing commit-
ment to the food and agricultural sciences generally and to the
specific subject area for which such grant is to be used.
"(3) The Secretary may make competitive grants to colleges and
universities for a period not to exceedfiveyears—
"(A) to develop or administer programs to meet unique food
and agricultural educational problems; and
"(B) to administer and conduct specialized programs to attract
individuals for undergraduate and graduate programs and to
administer and conduct graduate feUowship programs to meet
regional and national Directives in the food and agricultural
sciences.
Such grants shall be made without regard to matching funds pro-
vided by recipients.".
(b) Section 1417(c) of the National Agricultural Research, Exten-
sion, and Teaching Policy Act of 1977 (7 U.S.C. 3152(c)) is amended by
adding at the end thereof the following: "There are hereby trans-
ferred to the Secretary all the functions and duties of the Secretary of
Education under the Act of June 29,1935 (7 U.S.C. 329) applicable to
the activities and programs for which funds are made available under
section 22 of such Act.".
(c) Section 1417(d) of the National Agricultural Research, Exten-
sion, and Teaching Policy Act of 1977 (7 U.S.C. 3152(d)) is amended by
striking out "for the fiscal year ending September 30, 1982," and
inserting in lieu thereof "for each of the fiscal years ending Septem-
95 STAT. 1306 PUBLIC LAW 97-98—DEC. 22, 1981
ber 30,1982, September 30,1983, September 30,1984, and September
30,1985,".
TRANSFER OF FUNCTIONS UNDER THE SECOND MORRILL ACT
SEC. 1419. There are hereby transferred to the Secretary of Agricul-
ture all the functions and duties of the Secretary of Education under
the Act of August 30,1890 and the tenth and eleventh paragraphs
under the headinyg "Emergency Appropriations." of the Act of March
4,1907(7U.S.C.321etseq.).
NATIONAL AGRICULTURAL SCIENCE AWARD
SEC. 1420. (a) Section 1418 of the National Agricultural Research,
Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3153) is amended
by—
(1) amending the section heading to read as follows: "NATIONAL
AGRICULTURAL SCIENCE AWARD";
Establishment. (£) amending subsection (a) to read as follows:
"(a) The Secretary shall establish the National Agricultural Science
Award for research or advanced studies in the food and agricultural
sciences, including the social sciences. Two such awards, one for each
of the categories described in subsection (d) of this section, shall be
made in each fiscal year.";
(3) redesignating subsections (c) and (d) as subsections (d) and
(e), respectiveljr; and
(4) inserting immediately after subsection (b) a new subsection
as follows:
"(c) The awards shall be open to persons in agricultural research,
extension, teaching, or any combination thereof.".
(b) The table of contents of the Food and Agriculture Act of 1977 is
amended by striking out the following:
"Sec. 1418. National agricultural research award."
and inserting in lieu thereof the following:
"Sec. 1418. National agricultural science award."
REDESIGNATION OF INSTRUCTION FUNDING
SEC 1421. (a) The first section of the Act of August 30,1890 (7 U.S.C.
322) is amended by striking out "agriculture, the mechanic arts," and
all that follows through industries of life" and inserting in lieu
thereof **food and agricultural sciences".
(b) The eleventh paragraph under the heading "Emergency Appro-
priations." of the Act of March 4,1907 (7 U.S.C. 322) is amended by
striking out "agriculture and the mechanic arts" the second place it
appears and inserting in lieu thereof "food and ^ricultural
sciences".
ALCOHOL AND INDUSTRIAL HYDROCARBONS
SEC. 1422. Section 1419(a) of the National Agricultural Research,
Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3154(a)) is
amended by—
(1) striking out in the first sentence "colleges and universities,
and Government corporations" and inserting in lieu thereof
"colleges, universities. Government corporations, and Federal
laboratories" and striking out in the third sentence "colleges,
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1307
universities and Government corporations" and inserting in lieu
thereof "colleges, universities. Government corporations, and
Federal laboratories";
(2) striking out "four" in the sixth sentence; and
(3) striking out "and September 30,1982" in the sixth sentence
and all that follows through the period at the end thereof and
inserting in lieu thereof the following: "September 30, 1982,
September 30,1983, September 30,1984, and September 30,1985:
Provided, That the total amount of such appropriations shall not
exceed $40,000,000 during the eight-year period beginning Octo-
ber 1,1977, and shall not exceed such sums as may be authorized
by law for any fiscal year subsequent to such period: Provided
further, That not more than a toted of $5,000,000 may be
awarded to the colleges and universities of any one State.".
NUTRITION EDUCATION PROGRAM
SEC. 1423. Section 1425 of the National Agricultural Research,
Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3175) is amended
by-
CD amending subsection Qy) to read as follows:
"0?) In order to enable low-income individuals and families to
engage in nutritionally sound food purchasing and preparation
practices, the expanded food and nutrition education program con-
ducted under section 3(d) of the Act of May 8,1914 (7 U.S.C. 343(d)),
shall provide for the emplo3'inent and training of professional and
paraprofessional aides to engage in direct nutrition education of low-
income families and in other appropriate nutrition education pro-
grams. To the maximum extent practicable, such program aides shall
be hired from the indigenous target population."; and
(2) adding a new subsection as follows:
"(c) Beginning with the fiscal year ending September 30, 1982—
"(1) Any funds annually appropriated under section 3(d) of the
Act of May 8, 1914, for the conduct of the expanded food and
nutrition education program, up to the amount appropriated
under such section for such program for the fiscal year ending
September 30,1981, shall be allocated to each State in the same
proportion as funds appropriated under such section for the
conduct of the program for the fiscal year ending September 30,
1981, are allocated among the States; with the exception that the
Secretary may retain up to 2 per centum of such amount for the
conduct of such program in Stat^ that did not participate in
such program in the fiscal year ending September 30, 1981.
"(2) Any funds appropriated annually under section 3(d) of the
Act of May 8, 1914, for the conduct of the expanded food and
nutrition education program in excess of the amount appropri-
ated under such section for the conduct of the program for the
fiscal year ending September 30, 1981, shall be allocated as
follows:
"(A) 4 per centum shall be available to the Secretary for
administrative, technical, and other services necessary for
the administration of the program.
"(B) The remainder shsdl be allocated among the States as
follows:
"(i) 10 per centum shall be distributed equally gunong
all States; and
"(ii) the remainder shall be allocated to each State in
an amount which bears the same ratio to the total
95 STAT. 1308 PUBLIC LAW 97-98—DEC. 22, 1981
amount to be allocated under this subparagraph as the
population of the State living at or below 125 per centum
of the income poverty guidelines prescribed by the
Office of Management and Budget (adjusted pursuant to
section 673(2) of the Omnibus Budget Reconciliation Act
Ante, p. 511. of 1981 (42 U.S.C. 9902)), bears to the total population of
all the States living at or below 125 per centum of the
income poverty guidelines, as determined by the last
preceding decennial census at the time each such addi-
tional amount is first appropriated. The provisions of
this subparagraph shall not preclude the Secretary from
developing educational materials and programs for per-
sons in income ranges above the level designated in this
subparagraph.".
REPEAL OP SECTION 1426 OF THE NATIONAL AGRICULTURAL RESEARCH,
EXTENSION, AND TEACHING POUCY ACT OF 1977
SEC. 1424. (a) Section 1426 of the National Agricultural Research,
Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3176) is repealed.
Ot>) The table of contents of the Food and Agriculture Act of 1977 is
amended by striking out
"Sec. 1426. Nutrition education materials."
and inserting in lieu thereof
"Sec. 1426. Repealed.".
HUMAN NUTRITION RESEARCH AND INFORMATION MANAGEMENT
SYSTEM
SEC. 1425. (a) Section 1427 of the National Agricultural Research,
Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3177) i? amended
to read as follows:
HUMAN NUTRITION RESEARCH AND INFORMATION MANAGEMENT
SYSTEM
Plan, submittal "SEC. 1427. The Secretary and the Secretary of Health and Human
to Congress. Services shall formulate and submit to Congress, within one hundred
and eighty days after the date of enactment of this section, a plan for
a human nutrition research management system. This system shall
be bsised on on-line data support capability allowing for fiscal ac-
counting, management, and control of cross-agency human nutrition
research activities. The plan shall provide for management activities
of all agencies managing funds for human nutrition research activi-
ties under existing authorities and contain recommendations for any
additional authorities necessary to achieve a human nutrition
research management system.".
(b) The table of contents of the Food and Agriculture Act of 1977 is
amended by striking out
"Sec. 1427. Report to Congress."
and inserting in lieu thereof
"Sec. 1427. Human nutrition research and information management system.".
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1309
CONFORMING AMENDMENT
SEC. 1426. Section 1429 of the National Agricultural Research,
Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3191) is amended
by revising the last sentence thereof to read as follows: "It is
recognized that the total animal health and disease research and
extension efforts of the several State colleges and universities and of
the Federal Government would be more effective if there were close
coordination between such programs, and it is further recognized
that colleges and universities having accredited schools or colleges of
veterinary medicine and State agricultural experiment stations that
conduct animal health and disease research are especially vital in
training research workers in animal health.".
ELIGIBLE INSTITUTIONS FOR ANIMAL HEALTH AND DISEASE RESEARCH
FUNDS
SEC. 1427. Section 1430 of the National Agricultural Research,
Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3192) is amended
by amending paragraphs (1) and (2) to read as follows:
"(1) the term 'eligible institution' means an accredited school "Eligible
or college of veterinary medicine or a State agricultural experi- institution."
ment station that conducts animal health and disease research;
"(2) the term 'dean* means the dean of an accredited school or "Dean."
college of veterinary medicine;".
ANIMAL H E A L T H SCIENCE RESEARCH ADVISORY BOARD
SEC. 1428. Section 1432(a) of the National Agricultural Research,
Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3194(a)) is
amended by striking out "of five years" and inserting in lieu thereof
"that expires September 30,1985''
APPROPRIATIONS FOR ANIMAL HEALTH AND DISEASE RESEARCH
PROGRAMS AT ELIGIBLE INSTITUTIONS
SEC. 1429. Section 1433(a) of the National Agricultural Research,
Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3195(a)) is
amended by striking out the nrst sentence and inserting in lieu
thereof: "There are authorized to be appropriated such funds as
Congress may determine necessary to support continuing animal
health and disease research programs at eligible institutions, but not
to exceed $25,000,000 annually for the period beginning October 1,
1981, and ending September 30,1985, and not in excess of such sums
as may after the date of enactment of this title be authorized by law
for any subsequent fiscal year.".
APPROPRIATIONS FOR RESEARCH ON SPECIFIC NATIONAL OR REGIONAL
ANIMAL HEALTH OR DISEASE PROBLEMS
SEC. 1430. (a) Section 1434(a) of the National Agricultural Research,
Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3196(a)) is
amended to read as follows:
"(a) There are authorized to be appropriated such funds as Con-
gress may determine necessary to support research on specific
national or regional animal health or disease problems, but not to
exceed $35,000,000 annually for the period beginning October 1,1981,
and ending September 30,1985, and not in excess of such sums as may
95 STAT. 1310 PUBLIC LAW 97-98—DEC. 22, 1981
after the date of enactment of this title be authorized by law for any
subsequent fiscal year.".
(b) Section 1434(b) of the National Agricultural Research, Exten-
sion, and Teaching Policy Act of 1977 (7 U.S.C. 3196(b)) is amended to
read as follows:
7 use 3197. "(b) Notwithstanding the provisions of section 1435 of this title,
funds appropriated under this section shall be awarded in the form of
grants, for periods not to exceed five years, to eligible institutions.".
(c) Section 1434 of the National Agricultural Research, Extension,
and Teaching Policy Act of 1977 (7 U.S.C. 3196) is amended by adding
at the end thereof the following new subsections:
Priority lists. "(c) In order to establish a rational allocation of funds appropriated
under this section, the Secretary shall establish annually priority
lists of animal health and disease problems of national or regional
significance. Such lists shall be prepared after consultation with the
Joint Council, the Advisory Board, and the Board. Any recommenda-
tions made in connection with such consultation shall not be control-
ling on the Secretary's determination of priorities. In establishing
such priorities, the Secretary, the Joint Council, the Advisory Board,
and the Board shall consider the following factors:
"(1) any health or disease problem which causes or may cause
significant economic losses to any part of the livestock produc-
tion industry;
"(2) whether current scientific knowledge necessary to pre-
vent, cure, or abate such a health or disease problem is adequate;
and
"(3) whether the status of scientific research is such that
accomplishments may be anticipated through the application of
scientific effort to such health or disease problem.
"(d) Without regard to any consultation under subsection (c), the
Secretary shall, to the extent feasible, award grants to eligible
institutions on the basis of the priorities assigned through a peer
review system. Grantees shall be selected on a competitive basis in
accordance with such procedures as the Secretary may establish.
"(e) In the case of multiyear grants, the Secretary shall distribute
funds to grant recipients on a schedule which is reasonably related to
the timetable required for the orderly conduct of the research project
involved.".
EXTENSION AT 1890 LAND-GRANT COLLEGES, INCLUDING TUSKEGEE
INSTITUTE
SEC. 1431. Section 1444 of the National Agricultural Research,
Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3221) is amended
by-
(1) inserting "and ending with the fiscal year ending Septem-
ber 30, 1981," in the second sentence of subsection (a) immedi-
ately after "Beginning with the fiscal year ending September 30,
1979,";
(2) inserting immediately after the second sentence of subsec-
tion (a) a new sentence as follows: "Beginning with the fiscal year
ending September 30, 1982, there shall be appropriated under
this section an amount not less than 5V2 per centum, and for each
fiscal year thereafter, through the fiscal year ending September
30, 1985, an amount not less than 6 per centum of the total
appropriations for such year under the Act of May 8, 1914 (7
U.S.C. 341 etseq.).";
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1311
(3) inserting "current at the time each such additional sum is
first appropriated" in subsection (bX2)(B) after "the last preced-
ing decennial census" both times it appears;
(4) striking out "administrative head for extension" in subsec-
tion (c) and inserting in lieu thereof "extension administrator",
and inserting "and each five years thereafter" before the period;
and
(5) striking out "submitted by the proper officials of each
institution," in subsection (d) and inserting in lieu thereof
"submitted, as part of the State plan of work,".
AGRICULTURE RESEARCH IN 1890 LAND-GRANT COLLEGES, INCLUDING
TUSKEGEE INSTITUTE
SEC. 1432. (a) Section 1445 of the National Agricultural Research,
Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3222) is amended
by-
CD adding at the end of subsection (b)(1) a new sentence as
follows: "These administrative funds may be used for transporta-
tion of scientists who are not officers or employees of the United
States to research meetings convened for the purpose of assessing
research opportunities or research planning. ;
(2) inserting "current at the time each such additional sum is
first appropriated" in subsection (bX2XB) after "the last preced-
ing decennial census" both times it appears; and
(3) striking out "chief administrative officer" each time it
appears in subsections (c) and (d) and inserting in lieu thereof
"research director"
(bXD The Secretary of Agriculture shall make a grant of funds 7 use 3222 note.
appropriated under paragraph (5) of this subsection to the one college
of all the colleges el^ble to receive funds under the Act of August 30,
1890 (7 U.S.C. 321 et seq.), including Tuskegee Institute, which on the
date of the enactment of this title—
(A) has initiated a dairy goat research program; and
(B) has the best demonstrable capacity to carry out dairy goat
research.
(2) Any grant received under paragraph (1) by such college may be
expended to—
(A) pay expenses incurred in conducting dairy goat research;
(B) print and disseminate the results of such research;
(C) contribute to the retirement of employees engaged in such
research;
(D) plan, administer, and direct such research; and
(E) construct, acquire, alter, and repair buildings necessary to
conduct such research.
(3XA) Under the terms of such grant, funds appropriated under
paragraph (5) of this subsection for a fiscal year shall be paid to such
college in equal quarterly installments beginning on or about the
first day of October of such year upon vouchers approved by the
Secretary of Agriculture.
(B) Not later than sixty days after the end of each fiscal year for
which funds are paid under this subsection to such college, the
research director of such college shall submit to the Secretary a
detailed statement of the disbursements in such fiscal year of funds
received by such college under this subsection.
(C) If any of the funds so received by such college are by any action
or contingency misapplied, lost, or diminished, then—
(i) such college shall replace such funds; and
95 STAT. 1312 PUBLIC LAW 97-98—DEC. 22, 1981
(ii) the Secretary shall not distribute to such college any other
funds under this subsection until such replacement is made.
(4) For purposes of section 1445(e) of the National Agricultural
Research, Extension, and Teaching Policy Act of 1977 (7 U.S.C.
3222(e)), research and experiments funded under this subsection shall
be deemed to be research and experiments funded under section 1445
of such Act.
Appropriation (5) There is authorized to be appropriated to the Secretary to carry
authorization. out this subsection, for each of the fiscal years ending September 30,
1982, September 30, 1983, September 30, 1984, and September 30,
1985, an amount equal to one per centum of the aggregate amount of
funds appropriated under section 1445 of the National Agricultural
Research, Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3222)
in the fiscal year preceding the fiscal year for which funds are
authorized to be appropriated under this paragraph.
AUTHORITY TO AWARD GRANTS TO UPGRADE 1890 LAND-GRANT
COLLEGE RESEARCH FACILITIES
7 u s e 3223. SEC. 1433. (a) It is hereby declared to be the intent of Congress to
assist the institutions eligible to receive funds under the Act of
August 30, 1890 (7 U.S.C. 321 et seq.), including Tuskegee Institute
(hereinafter referred to in this section as "eligible institutions''), in
the acquisition and improvement of research facilities and equipment
so that eligible institutions may participate fiilly with the State
agriculture^ experiment stations in a balanced attack on the research
needs of the people of their States.
Appropriation
authorization.
(b) There are authorized to be appropriated to the Secretary of
Agriculture for the purpose of carrying out the provisions of this
section $10,000,000 for each of the fiscal years enduig September 30,
1982, September 30,1983, September 30,1984, September 30, 1985,
and September 30, 1986, such sums to remain available until
expended.
(c) Four per centum of the sums appropriated pursuant to this
section shall be available to the Secretary for administration of this
grants pr(^am. The remaining funds shall be available for grants to
the eligible institutions for the purpose of assisting them in the
purchase of equipment and land, and the planning, construction,
alteration, or renovation of buildings to strengthen their capacity to
conduct research in the food and agricultural sciences.
(d) Grants awarded pursuant to this section shall be made in such
amounts and under such terms and conditions as the Secretary shall
determine necessary for carrying out the purposes of this section.
(e) Federal funds provided under this section may not be utilized for
the payment of any overhead costs of the el^ble institutions.
(f) The Secretary may promulgate such rules and regulations as the
Secretary may deem necessary to carry out the provisions of this
section.
AUTHORIZATION FOR APPROPRIATIONS FOR SOLAR ENERGY MODEL
FARMS AND DEMONSTRATION PROJECTS
SEC 1434. Section 1454 of the National Agricultural Research,
Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3263) is amended
by striking "September 30, 1981" and inserting in lieu thereof
"September 30,1985".
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1313
SOLAR ENERGY DEFINITION
SEC. 1435. Section 1457 of the National Agricultural Research,
Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3282) is amended
to read as follows:
"SEC. 1457. For purposes of this subtitle, the term 'solar energy'
means energy derived from sources (other than fossil fuels) and
technologies included in the Federal Non-Nuclear Energy Research
and Development Act of 1974, as amended.". 42 use 5901
INTERNATIONAL AGRICULTURAL RESEARCH AND EXTENSION
SEC. 1433. Section 1458 of the National Agricultural Research
Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3291) is amended
to read as follows:
"SEC. 1458. (a) The Secretary, subject to such coordination with
other Federal officials, departments, and agencies as the President
may direct, is authorized to—
"(1) expand the operational coordination of the Department of
Agriculture with institutions and other persons throughout the
world performing agricultural and related research and exten-
sion activities by exchanging research materials and results with
such institutions or persons and by conducting with such institu-
tions or persons joint or coordinated research and extension on
problems of significance to food and agriculture in the United
States;
"(2) assist the Agency for International Development with
food, agricultural, research and extension programs in develop-
ing countries;
"(3) work with developed and transitional countries on food,
agricultural and related research and extension, including the
training of persons from such countries engaged in such activi-
ties and the stationing of scientists at national and international
institutions in such countries;
"(4) assist United States collies and universities in strength-
ening their capabilities for food, agricultural, and related
research and extension relevant to agricultural development
activities in other countries; and
"(5) further develop within the Department of Agriculture
highly qualified and experienced scientists who specialize in
international programs, to be available for the activities
described in this section.
"(b) The Secretary shall draw upon and enhance the resources of
the land;^ant collies and universities, and other colleges and
universities, for developing linkages among these institutions, the
Federal Government, international research centers, and counter-
part agencies and institutions in both the developed and less-devel-
oped countries to serve the purposes of agriculture and the economy
or the United States and to make a substantial contribution to the
cause of improved food and agricultural progress throughout the
world.
"(c) The Secretary may provide specialized or technical services, on
an advance of funds or a reimbursable basis, to United States colleges
and universities carrying out international food, agricultural, and
related research, extension, and teaching development projects and
activities. All funds received in payment for furnishing such special-
ized or technical services shall be deposited to the credit of the
95 STAT. 1314 PUBLIC LAW 97-98—DEC. 22, 1981
appropriation from which the cost of providing such services has been
paid or is to be charged.".
AUTHORIZATION FOR APPROPRIATIONS FOR EXISTING AND CERTAIN NEW
AGRICULTURAL RESEARCH PROGRAMS
SEC. 1437. Section 1463 of the National Agricultural Research,
Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3311) is amended
by-
(1) striking out "and $780,000,000 for the fiscal year ending
September 30, 1982," in subsection (a) and inserting in lieu
thereof "$780,000,000 for the fiscal year ending September 30,
1982, $780,000,000 for the fiscal year ending September 30,1983,
$835,000,000 for the fiscal year ending September 30,1984, and
$890,000,000 for the fiscal year ending September 30, 1985,";
(2) striking out "and $220,000,000 for the fiscal year ending
September 30, 1982," in subsection (b) and inserting in lieu
thereof "$220,000,000 for the fiscal year ending September 30,
1982, $230,000,000 for the fiscal year ending September 30,1983,
$240,000,000 for the fiscal year ending September 30, 1984, and
$250,000,000 for the fiscal year ending September 30,1985,"; and
(3) adding at the end thereof a new subsection as follows:
"(c) Notwithstanding any other provision of law effective beginning
October 1, 1983, not less than 25 per centum of the total funds
appropriated to the Secretary in any fiscal year for the conduct of the
cooperative research program provided for under the Act of March 2,
1887, commonly known as the Hatch Act (7 U.S.C. 361a et seq.); the
cooperative forestry research program provided for under the Act of
October 10,1962, commonly known as the Mclntire-Stennis Act (16
U.S.C. 582a et seq.); the special and competitive grants programs
provided for in sections 2(b) and 2(c) of the Act of August 4, 1965 (7
Ante, p. 1303. U.S.C. 4501); the animal health research program provided for under
Ante, p. 1309. sections 1433 and 1434 of this title; the native latex research program
J^usc 3195, provided for in the Native Latex Commercialization and Economic
3196.
Development Act of 1978 (7 U.S.C. 178 et seq.); and the research
provided for under various statutes for which fluids are appropriated
under the Agricultural Research heading or a successor heading,
shall be appropriated for research at State agricultural experiment
stations pursuant to the provision of the Act of March 2, 1887.".
AUTHORIZATION FOR APPROPRIATIONS FOR EXTENSION PROGRAMS
SEC. 1438. Section 1464 of the National Agricultural Research,
Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3312) is amended
by striking out "and $350,000,000 for the fiscal year ending Septem-
ber 30,1982," and inserting in lieu thereof "$350,000,000 for the fiscal
year ending September 30, 1982, $360,000,000 for the fiscal year
ending September 30, 1983, $370,000,000 for the fiscal year ending
September 30, 1984, and $380,000,000 for the fiscal year ending
September 30,1985,".
MISCELLANEOUS PROVISIONS
SEC. 1439. (a) The National Agricultural Research, Extension, and
Teaching Policy Act of 1977 (7 U.S.C. 3101 et seq.) is amended by
adding in subtitle K the following new sections:
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1315
"PROGRAM EVALUATION STUDIES
"SEC. 1471. (a) The Secretary shall regularly conduct program '^ use 3317.
evaluations to meet the purposes of this title and the responsibilities
assigned to the Secretary and the Department of Agriculture in this
title. Such evaluations snail be designed to provide information that
may be used to improve the administration and effectiveness of
agricultural research, extension, and teaching programs in achieving
their stated objectives.
"(b) The Secretary is authorized to encourage and foster the regular
evaluation of agricultural research, extension, and teaching pro-
grams within the State agricultural experiment stations, cooperative
extension services, and colleges and universities, through the devel-
opment and support of cooperative evaluation programs and program
evaluation centers and institutes.
"GENERAL AUTHORITY TO ENTER INTO CONTRACTS, GRANTS, AND
COOPERATIVE AGREEMENTS
"SEC. 1472. (a) The purpose of this section is to confer upon the ^ use 3318.
Secretary general authority to enter into contracts, grants, and
cooperative agreements to further the research, extension, or teach-
ing programs m the food and agricultural sciences of the Department
of Agriculture. This authority supplements all other laws relating to
the Department of Agriculture and is not to be construed as limiting
or repealing any existing authorities.
"(b) The Secretary may enter into contracts, grants, or cooperative
agreements, for periods not to exceed five years, with State agricul-
tursil experiment stations. State cooperative extension services, all
colleges and universities, other research or education institutions
and organizations. Federal and private agencies and organizations,
individuals, and any other contractor or recipient, either foreign or
domestic, to further research, extension, or teaching programs in the
food and agricultural sciences of the Department of Agriculture.
"(c) The Secretary may vest title to expendable and nonexpendable
equipment and supplies and other tangible personal property in the
contractor or recipient when the contractor or recipient purchases
such equipment, supplies, and property with contract, grant, or
cooperative agreement funds and the Secretary deems such vesting of
title a furtherance of the agricultural research, extension, or teach-
ing objectives of the Department of Agriculture.
"(d) Unless otherwise provided in this title, the Secretary may
enter into contracts, grante, or cooperative agreements, as authorized
by this section, without regard to any requirements for competition,
the provisions of section 3709 of the Revised Statutes (41 U.S.C. 5),
and the provisions of section 3648 of the Revised Statutes (31 U.S.C.
529).
"RESTRICTION ON TREATMENT OF INDIRECT COSTS AND TUITION
REMISSION
"SEC. 1473. Funds made available by the Secretary under estab- 7 use 3319.
lished Federal-State partnership arrangements to State cooperative
institutions under the Acts referred to in section 1404(16) of this title ^"-te, p. 1297.
and funds made available under subsection (c)(2) and subsection (d) of
section 2 of the Act of August 4, 1965 (7 U.S.C. 450i) shall not be Ante, p. 1304.
sub^'ect to reduction for indirect costs or for tuition remission. No
indirect costs or tuition remission shall be charged against funds in
95 STAT. 1316 PUBLIC LAW 97-98—DEC. 22, 1981
connection with cooperative agreements between the Department of
Agriculture and State cooperative institutions if the cooperative
program or project involved is of mutual interest to all the parties
and if all the parties contribute to the cooperative agreement in-
volved.".
(b) The table of contents of the Food and Agriculture Act of 1977 is
amended by inserting immediately after the item relating to section
1470 the following new items:
"Sec. 1471. Program evaluation studies.
"Sec. 1472. General authority to enter into contracts, grants, and cooperative
agreements.
"Sec. 1473. Restriction on treatment of indirect costs and tuition remission.".
AQUACULTURE AND RANGELAND RESEARCH
SEC. 1440(a). The National Agricultural Research, Extension, and
Teaching Policy Act of 1977 (7 U.S.C. 3101 et seq.) is amended by
adding at the end thereof the following new subtitles L and M:
"Subtitle L—Aquaculture
"PURPOSE
7 use 3321. "SEC. 1474. It is the purpose of this subtitle to promote research and
extension activities of the institutions hereinafter referred to in
Infra- section 14750)), and to coordinate their efforts as an integral part in
the implementation of the National Aquaculture Act of 1980 (16
94 Stat. 1198. U.S.C. 2801 et seq.) by encouraging landowners, individuals, and
commercial institutions to develop aquaculture production and facili-
ties and sound aquacultural practices that will, through research and
technology transfer programs, provide for the increased production
and marketing of aquaculturalroodproducts.
"AQUACULTURE ASSISTANCE PROGRAMS
7 use 3322. "SEC. 1475. (a) The Secretary may develop and implement a
cooperative research and extension program to encourage the devel-
opment, management, and production of important aquatic food
species within the several States and territories of the United States,
in accordance with the national aquaculture development plan, and
revisions thereto, developed under the National Aquaculture Act of
1980.
"(b) The Secretary may make grants to—
"(1) land-grant colleges and universities;
"(2) State agricultural experiment stations; and
"(3) colleges, universities, and Federal laboratories having a
demonstrable capacity to conduct aquacultural research, as
determined by the Secretary;
for research and extension to facilitate or expand promising advances
in the production and marketing of aquacultural food species and
producte. Except in the case of Federal laboratories, no grant may be
made under this subsection unless the State in which the grant
recipient is located makes a matching grant to such recipient equal to
the amount of the grant to be made under this subsection, and unless
the grant is in implementation of the national aquaculture develop-
ment plan, and revisions thereto, developed under the National
Aquaculture Act of 1980.
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1317
"(c) The Secretary may assist States to formulate aquaculture
development plans for the enhancement of the production and
marketing of aquacultural species and products from such States and
may make grants to States on a matching basis, as determined by the
Secretary. The aggregate amount of the grants made to any one State
under this subsection may not exceed $50,000. The plans shall be
consistent with the national aquaculture development plan, and
revisions thereto, developed under the National Aquaculture Act of
1980. 94 Stat. 1198.
"(d) To provide for aquacultural research, development, and dem- 16 u s e 2801
note.
onstration projects having a national or regional application, the
Secretary may establish in existing Federal facilities or in coopera-
tion with State agencies (including State departments of agriculture),
and land-grant colleges and universities, up to four aquacultural
research, development, and demonstration centers in the United
States for the performance of aquacultural research, extension work,
and demonstration projects. Funds made available for the operation
of such regional centers may be used for the rehabilitation of existing
buildings or facilities to house such centers, but may not be used for
the construction or acquisition of new buildings or facilities.
"(e) Not later than one year after the effective date of this subtitle Report to
and not later than March 1 of each subsequent year, the Secretary President and
congressional
shall submit a report to the President, the House Committee on committees.
Agriculture, the House Committee on Appropriations, the Senate
Committee on Agriculture, Nutrition, and Forestry, and the Senate
Committee on Appropriations, containing a summary outlining the
progress of the Department of Agriculture in meeting the purposes of
the programs established under this subtitle.
AQUACULTURE ADVISORY BOARD
"SEC. 1476. (a) The Secretary shall establish within the Department Establishment.
of Agriculture a board to be known as the Aquaculture Advisory 7 u s e 3323.
Board (hereinafter in this subtitle referred to as the 'Board') which
shall have a term that expires September 30,1985, and which shall be
composed of the following twelve members appointed by the Secre-
tary—
"(1) four representatives of agencies of the Department of
Agriculture which have significant research, extension, or teach-
ing responsibilities;
"(2) two representatives of cooperative extension services;
"(3) two representatives of State agricultural experiment sta-
tions; and
"(4) four representatives of national aquaculture organiza-
tions.
Members of the Board shall serve without compensation, if-not
otherwise officers or employees of the United States. While away
from their homes or regular places of business in the performance of
services for the Board, members of the Board shall be allowed travel
expenses, including per diem in lieu of subsistence, in the same
manner as persons employed intermittently in the Government
service are allowed expenses under sections 5701 through 5707 of
title 5, United States Code.
"(b) The board shall meet at the call of the Secretary, but at least
annually, to consult with and advise the Secretary with respect to the
implementation of this subtitle and to recommend priorities for the
conduct of research and extension programs authorized in this
95 STAT. 1318 PUBLIC LAW 97-98—DEC. 22, 1981
subtitle, under such rules and procedures for conducting business as
the Secretary may, in the Secretary's discretion, prescribe.
"AUTHORIZATION OF APPROPRIATIONS
7 use 3324. "SEC. 1477. (a) There is authorized to be appropriated $7,500,000 for
each fiscal year beginning after the effective date of this subtitle, and
ending with the fiscal year ending September 30, 1985, and not in
excess of such sums as may after the date of enactment of this subtitle
be authorized by law for any subsequent fiscal year.
"(b) Funds appropriated under subsection (a) shall be allocated by
the Secretary for work to be done as mutually agreed upon between
the Secretary and the institutions described in section 1475(b). The
Secretary shall, whenever possible, consult with the Board in devel-
oping plans for the use of these funds.
"Subtitle M—Rangeland Research
"PURPOSE
7 use 3331. "SEC. 1478. It is the purpose of this subtitle to promote the general
welfare through improved productivity of the Nation's rangelands,
which comprise 60 per centum of the land area of the United States.
Most of these rangelands are unsuited for cultivation, but produce a
great volume of forage that is inedible by humans but readily
converted, through an energy efficient process, to high quality food
protein by grazing animals. These native grsizing Ismds, are located
throughout the United States and are important resources for major
segments of the Nation's livestock industry. In addition to the many
livestock producers directly dependent on rangelands, other seg-
ments of agriculture are indirectly dependent on range-fed livestock
and on range-produced forage that can be substituted for grain in
times of grain scarcity. Recent resource assessments indicate that
forage production of rangeland can be increased at least 100 per
centum through development and application of improved range
management practices while simultaneously enhancing wildlife,
watershed, recreational, and aesthetic values and reducing hazards
of erosion and flooding.
"RANGELAND RESEARCH PROGRAM
7 use 3332. "SEC. 1479. The Secretary may develop and implement a coopera-
tive rangeland research program in coordination with the program
16 use 1600 carried out under the Renewable Resources Extension Act of 1978 to
^°^- improve the production and quality of desirable native forages or
introduced forages which are managed in a similar manner to native
forages for livestock and wildlife. 'The program shall include studies
of: (1) management of rangelands and agricultural land as integrated
systems for more efficient utilization of crops and waste products in
the production of food and fiber; (2) methods of managing rangeland
watersheds to maximize efficient use of water and improve water
yield, water quality, and water conservation, to protect against onsite
and offsite damage of rangeland resources from floods, erosion, and
other detrimental influences, and to remedy unsatisfactory and
unstable rangeland conditions; (3) revegetation and rehabilitation of
rangelands including the control of undesirable species of plants; and
(4) such other matters as the Secretary considers appropriate.
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1319
"RANGELAND RESEARCH GRANTS
"SEC. 1480. The Secretary may make grants to land-grant colleges ^ USC 3333.
and universities, State agricultural experiment stations, and to
colleges, universities, and Federal laboratories having a demonstra-
ble capacity in rangeland research, as determined by the Secretary,
to carry out rangeland research. Except in the case of Federal
laboratories, this grant program shall be based on a matching
formula of 50 per centum Federal and 50 per centum non-Federal
funding.
"REPORTS
"SEC. 1481. Not later than one year after enactment of this subtitle, 7 use 3334.
and not later than March 1 of each successive year, the Secretary
shall submit a report to the President, the House Committee on
Agriculture, the House Committee on Appropriations, the Senate
Committee on Agriculture, Nutrition, and Forestry, and the Senate
Committee on Appropriations, outlining the progress of the Depart-
ment of Agriculture in meeting the program requirements set forth
in section 1479 of this subtitle.
"RANGELAND RESEARCH ADVISORY BOARD
"SEC. 1482. (a) The Secretary shall establish a board to be known as Establishment.
the Rangeland Research Advisory Board which shall have a term '^ use 3335.
that expires September 30,1985, and which shall be composed of the
following twelve members appointed by the Secretary:
"(1) four representatives of agencies of the Department of
Agriculture which have significant research, extension, or teach-
ing responsibilities;
(2) four representatives of the State agricultural experiment
stations; and
"(3) four representatives of national rangeland and range
livestock organizations.
The members shall serve without compensation, if not otherwise
officers or employees of the United States, except that they shall,
while away from their homes or regular places of business in the
performance of services for the Board, be allowed travel expenses,
including per diem in lieu of subsistence, in the same manner as
persons employed intermittently in the Government service are
allowed expenses under sections 5701 through 5707 of title 5, United
States Code.
"(b) The Board shall meet at the call of the Secretary, but at least
once annually, to consult with and advise the Secretary with respect
to the implementation of this subtitle and to recommend priorities
for the conduct of programs authorized under this subtitle, under
such rules and procedures for conducting business as the Secretary
shall prescribe.
"APPROPRIATIONS
"SEC. 1483. (a) There are authorized to be appropriated, to imple- ? use 3336.
ment the provisions of this subtitle, such sums not to exceed
$10,000,000 annually for the period beginning October 1, 1981, and
ending September 30, 1985, and thereafter such sums as may after
the date of enactment of this subtitle be authorized by law for any
subsequent fiscal year.
"Ot>) Funds appropriated under this section shall be allocated by the
Secretary to eligible institutions for work to be done as mutually
agreed upon between the Secretary and the eligible institution or
89-194 O—82 85:QL3
95 STAT. 1320 PUBLIC LAW 97-98—DEC. 22, 1981
institutions. The Secretary shall, whenever possible, consult with the
Board in developing plans for the use of these funds.".
7 use 1281 note. (b) The table of contents of the Food and Agriculture Act of 1977 is
amended by adding at the end of title XIV the following new items:
"SUBTITLE L—AQUACULTURE
"Sec. 1474. Purpose.
"Sec. 1475. Aquaculture assistance programs.
"Sec. 1476. Aquaculture Advisory Board.
"Sec. 1477. Authorization of appropriations.
"SUBTITLE M-RANGELAND RESEARCH
"Sec. 1478. Purpose.
"Sec. 1479. Rangeland research program.
"Sec. 1480. Rangeland research grants.
"Sec. 1481. Reports.
"Sec. 1482. Rangeland Research Advisory Board.
"Sec. 1483. Appropriations.".
COOPERATIVE STATE FORESTRY
SEC. 1441. (a) Section 1 of the Act of October 10, 1962 (16 U.S.C.
582a), commonly known as the Mclntire-Stennis Act of 1962, is
amended by adding at the end thereof the following: ' I t is also
recognized that the provisions of this Act are essential to assist in
providing the research background that undergirds the Forest and
Rangeland Renewable Resources Planning Act of 1974, the Renew-
16 u s e 1600 able Resources Extension Act of 1978, and the Soil and Water
note. Resources Conservation Act of 1977.".
16 u s e 2001
note. (b) Section 2 of the Act of October 10, 1962 (16 U.S.C. 582a-l), is
amended by adding at the end thereof the following: 'Tf more than
one institution wimin a State are certified as qualli^yring for assist-
ance, then it shall be the responsibility of such institutions, in
agreement with the Secretary, to develop complementary programs
of forestry research for the State.".
(c) Sections 5 and 6 of the Act of October 10,1962 (16 U.S.C. 582a-4
and 582a-5), are amended to read as follows:
Regulations. "SEC. 5. (a) The Secretary shall prescribe such regulations as may
be necessanr to carry out this Act and to furnish such advice and
assistance through a cooperative State forestry research unit in the
Department as will best promote the purpcNses of this Act.
eouncil, (b) The Secretary shall appoint a council of not fewer than sixteen
appointment. members which shall be constituted to give representation to Federal
and State agencies concerned with developing and utilizing the
Nation's forest resources, the forest industries, the forestry schools of
the State-certified eligible institutions. State agricultural experiment
stetions, and volunteer public groups concerned with forests and
Report. related natural resources. The council shall meet at least annually
and shall submit a report to the Secretary on regional and national
planning and coordination of forestry research within the Federal
and State agencies, forestry schools, and the forest industries, and
shall advise the Secretary on the apportionment of funds. The
Secretary shall seek, at least once each year, the advice of the council
to acconiplish efficiently the purposes of this Act.
"SEC. 6. Apportionments among participating Stetes shall be deter-
mined by the Secretary after consmtetion with the council appointed
Supra. under section 5. In making such apportionments, consideration shall
be given to pertinent factors including non-Federal expenditures for
forestry research by Stete-certified eligible institutions, areas of non-
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1321
Federal commercial forest land, and the volume of timber cut
annually. Three per centum of such funds as may be appropriated
shall be made available to the Secretary for administration of this
Act. These administrative funds may be used for transportation of
scientists who are not officers or employees of the United States to
research meetings convened for purposes of assessing research oppor-
tunities or research planning.".
PROHIBITION AGAINST REDUCTION OP STATE FUNDS UPON INCREASE IN
FEDERAL ALLOTMENT
SEC. 1442. (a) Section 3 of the Act of March 2,1887 (7 U.S.C. 361c),
commonly known as the Hatch Act, is amended by adding at the end
thereof a new subsection (g) as follows:
"(g) If in any year the amount made available by a State from its
own funds (including any revenue-sharing funds) to a State agricul-
tural experiment station is reduced because of an increase in the
allotment made available under this Act, the allotment to the State
agricultural experiment station from the appropriation in the next
succeeding fiscal year shall be reduced in an equivalent amount. The
Secretary shall reapportion the amount of such reduction to other
States for use by their agricultural experiment stations.".
(b) Section 4 of the Act of October 10, 1962 (16 U.S.C. 582a-3),
commonly known as the Mclntire-Stennis Act, is amended by adding
at the end thereof the following: "If in any year the amount made
available by a State fii^m its own funds (including any revenue-
sharing funds) to a State-certified institution eligible for assistance
under this Act is reduced because of an increase in the allotment
made available under this Act, the allotment of such State-certified
institution from the next succeeding appropriation shall be reduced
in an equivalent amount. The &cretary shall reapportion the
amount of such reduction to other eligible colleges and universities of
the same State if there be any that qualify therefor and, if there be
none, the Secretary shall reapportion such amount to the qualifying
colleges and universities of other States participating in the forestry
research program.".
EXCESS FEDERAL PROPERTY
SEC. 1443. Section 202(dX2) of the Federal Property and Adminis-
trative Services Act of 1949 (40 U.S.C. 483(dX2)) is amended by—
(1) striking out the word "or" at the end of subpargraph (C);
(2) striking out the period at the end of subparagraph (D) and
inserting in lieu thereof a semicolon and the word "or"; and
(3) adding the following new subparagraph immediately after
subparagraph (D):
"(E) property furnished by the Secretary of Agriculture to
any State or county extension service engaged in cooperative
agricultural extension work pursuant to the Act of May 8,
1914 (7 U.S.C. 341 et seq.); any State experiment station
engaged in cooperative agricultural research work pursuant
to the Act of March 2, 1887 (7 U.S.C. 361a et seq.); and any
institution engaged in cooperative agricultural research or
extension work pursuant to sections 1433,1434,1444, or 1445
of the National Agricultural Research, Extension, and
Teaching Policy Act of 1977 (7 U.S.C. 3195, 3196, 3221, and
3222) or the Act of October 10, 1962 (16 U.S.C. 582a et seq.),
where title is retained in the United States. For the purpose
95 STAT. 1322 PUBLIC LAW 9 7 - 9 8 ~ D E C . 22, 1981
"State." of this provision, the term 'State' means any one of the fifty
States, the Commonwealth of Puerto Rico, Guam, American
Samoa, the Commonwealth of the Northern Marianas, the
Trust Territory of the Pacific Islands, the Virgin Islands of
the United States, and the District of Columbia.".
RURAL DEVELOPMENT AND SMALL FARM RESEARCH AND EXTENSION
SEC. 1444. (a) Title V of the Rural Development Act of 1972 (7 U.S.C.
2661 et seq.) is amended by striking out sections 501 through 508 and
inserting in lieu thereof the following:
7 use 2661. "SEC. 501. PURPOSES AND GOALS.—(a) The overall purpose of this
title is to foster a beilanced national development that provides
opportunities for increased numbers of the people of the United
States to work and enjoy a high quality of life dispersed throughout
our Nation by providing the essential knowledge necessary for
successful programs of rural development. It is further the purpose of
this title to—
"(1) provide multistate regional agencies. States, counties,
cities, multicounty planning and development districts, busi-
nesses, industries, Indian tribes on Federal and State reserva-
tions or other federally recognized Indian tribal groups and
others involved with public services and investments in rural
areas or that provide or may provide emplojnnent in these areas
the best available scientific, technical, economic, organizational,
environmental, and mansigement information and knowledge
useful to them, and to assist and encourage them in the interpre-
tation and application of this information to practical problems
and needs in rural development;
"(2) provide research and investigations in all fields that have
as their purpose the development of useful knowledge and
information to assist those planning, carrying out, managing, or
investing in facilities, services, businesses, or other enterprises,
public and private, that may contribute to rural development;
"(3) increase the capabilities of, and encourage, colleges and
universities to perform the vital public service roles of research,
and the transfer and practical application of knowledge, in
support of rural development;
(4) expand small farm research and extend training and
technical assistance to small farm families in assessing their
needs and opportunities and in using the best available knowl-
edge on sound economic approaches to small farm operations and
on existing services offered by the Department of Agriculture
and other public and private agencies and organizations to
improve their income and to gain access to essential facilities and
services; and
"(5) support activities to supplement and extend programs that
address special research and education needs in States experi-
encing rapid social and economic adjustments or unique prob-
lems caused by rural isolation and that address national and
regional rural development policies, strategies, issues, and pro-
grams.
"(b) the goals of this title are to—
"(1) encourage and support rural United States, in order to
help make it a better place to live, work, and enjoy life;
(2) increase income and improve employment for persons in
rural areas, including the owners or operators of small farms,
small businesses, and rural youth;
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1323
"(3) improve the quality and availability of essential commu-
nity services and facilities in rural areas;
"(4) improve the quantity and quality of rural housmg;
"(5) improve the rural management of natural resources so
that the growth and development of rural communities needed to
support the family farm may be accommodated with minimum
effect on the natursd environment and the agricultural land
base;
"(6) improve the data base for rural development decisionmak-
ing at local, State, and national levels; and
"(7) improve the problem solving and development capacities
and effectiveness of rural governments, officials, institutions,
communities, community leaders, and citizen groups in—
"(A) improving access to Federal programs;
"(B) improving targeting and delivery of technical assist-
ance;
"(C) improving coordination among Federal agencies,
other levels of government, and institutions and private
organizations in rural areas; and
"(D) developing and disseminating better information
about rural conditions.
"SEC. 502. PROGRAMS AUTHORIZED.—The Secretary of Agriculture "7 use 2662.
may conduct, in cooperation and coordination with colleges and
universities, the following programs to carry out the purposes and
achieve the goals of this title.
"(a) RURAL DEVELOPMENT EXTENSION PROGRAMS.—Rural develop-
ment extension programs shall consist of the collection, interpreta-
tion, and dissemination of useful information and knowledge from
research and other sources to units of multistate regional agencies.
State, county, municipal, and other units of government, multicounty
planning and development districts, organizations of citizens contrib-
uting to community and rural development, businesses, Indian tribes
on Federal or State reservations or other federally recognized Indian
tribal groups, and industries that employ or may employ people in
rural areas. These programs also shall include technical services and
educational activities, including instruction for persons not enrolled
as students in colleges or universities, to facilitate and encourage the
use and practical application of this information. These programs
may also include feasibility studies and planning assistance.
"(b) RURAL DEVELOPMENT RESEARCH.—Rural development research
shall consist of research, investigations, and basic feasibility studies
in any field or discipline that may develop principles, facts, scientific
and technical knowledge, new technology, and other information that
may be useful to agencies of Federal, State, and local government,
industries in rural areas, Indian tribes on Federal and State reserva-
tions or other federally recognized Indian tribal groups, and other
organizations involved in community and rural development pro-
grams and activities in planning and carrying out such programs and
activities or otherwise be practical and useful in achieving the
purposes and goals of this title.
"(c) SMALL FARM RESEARCH PROGRAMS.—Small farm research pro-
grams shall consist of programs of research to develop new
approaches for initiating and upgrading small farm operations
through management techniques, agricultural production tech-
niques, farm machinery technologj', new products, new marketing
techniques, and small farm finance; to develop new enterprises that
can use labor, skills, or natural resources available to the small farm
95 STAT. 1324 PUBLIC LAW 97-98—DEC. 22, 1981
family; or that will help to increase the quality and availability of
services and facilities needed by the small farm family.
"(d) SMALL FARM EXTENSION PROGRAMS.—Small farm extension
programs shall consist of extension programs to improve small farm
operations, including management techniques, agricultural produc-
tion techniques, farm machinery technology, marketing techniques
and small mrm finance; to increase use by small farm families of
existing services offered by the Department of Agriculture and other
public and private agencies and organizations; to assist small farm
families in establishing and operating cooperatives for the purpose of
unproving then- family income from farming or other economic
activities; to increase the quality and availability of services and
facilities needed by small farm families; and to develop new enter-
prises that can use labor, skills, or natural resources available to the
small farm familv.
"(e) SPECIAL GRANTS PROGRAMS.—Special grants programs shall
consist of extension and research programs to strengthen research
and education on national and regionsQ issues in rural development,
including the assessment of alternative policies and strategies for
rural development and balanced growth; to develop alternative
strategies for national and regional investment, and the creation of
employment, in rural areas; to develop alternative energy policies to
meet rural development needs; and to strengthen rural development
programs of agencies of the Department of Agriculture and those in
other Federal departments and agencies.
7 use 2663. "SEC. 503. APPROPRIATION AND ALLOCATION OF FUNDS.—(a) There
are authorized to be appropriated such sums as are necessary to carry
out the purposes of thus title.
"(b) Such sums as are appropriated to carry out the provisions of
sections 502(a) and 502(b) of mis title shall be distributed by the
Secretary of Agriculture as follows:
"(1) 4 per centum shall be retained by the Secretory for
program administration and national coordination of Stete pro-
grams, and program assistance to the Stotes;
"(2) 10 per centum shall be used to finance work serving two or
more Stotes in which colleges or universities in two or more
' Stotes cooperate or that is conducted by one college or university
to serve two or more Stotes:
"(3) 20 per centum shall oe allocated equally among the Stotes;
and
"(4) 66 per centum shall be allocated to each Stote as follows:
One-half m an amount that bears the same ratio to the total
amount to be allotted as the rural population of the Stote bears to
the total rural population of all the Stotes, as determined by the
last preceding decennial census current at that time; and one-
half in an amount that bears the same ratio to the total amount
to be allotted as the farm population of the Stote bears to the
total farm population of all the States, as determined by the last
preceding decennial census current at that time:
Provided, That, beginning with the fiscal year ending September 30,
1982, no Stote may receive more than $75,000 until all Stotes have
been allotted a minimum of $75,000.
"(c) Such sums as are appropriated to carry out the provisions of
section 502(e) of this title shall be distributed by the Secretary to
colleges and universities, on a competitive or matching fund basis,
according to the Secretary's determination of the projects and
manner of funding that show the most promise of fulnlling the
objectives of section 502(e) of this title.
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1325
"(d) Funds appropriated under this title may be used to pay salaries
and other expenses of personnel employed to carry out the functions
authorized by this title; to obtain necessary supplies, equipment, and
services; and to rent, repair, and maintain facilities needed, but not to
purchase or construct buildings.
"(e) Payment of funds to any State for programs authorized under
sections 502(a), 502(b), 502(c), and 502(d) of this title shall be contin-
gent upon approval by the Secretary of a plan of work and budget for
such programs and compliance with such regulations as the Secre-
tary may issue under this title. Plans for work shall be jointly
developed in each State by the land-grant colleges and universities
eligible to receive funds under the Act of July 2,1862 (7 U.S.C. 301 et
seq.), and the Act of August 30,1890 (7 U.S.C. 321 et seq.), including
Tuskegee Institute. In States in which there is no land-grant institu-
tion eligible to receive funds under the Act of August 30, 1890, the
land-grant institution eligible to receive funds under the Act of July
2,1862, shall be responsible for developing plans of work and budgets.
In the development of the plans of work and budgets, consideration
shall be given to involvement of the resources and expertise of the
colleges and universities serving the region in which the plans and
budgets are to be applied.
"(f) Funds shall be available for use by each State in the fiscal year
for which appropriated and the next fiscal year following the fiscal
year for which appropriated. Funds shall be budgeted and accounted
for on such forms and at such times as the Secretary shall prescribe.
"(g) Funds provided to each State under this title may be used to
finance programs through or at private and publicly supported
colleges and universities other than the institutions responsible for
administering the programs, as provided under section 504 of this
title.
"SEC. 504. COOPERATING COLLEGES AND UNIVERSITIES.—(a) To 7 use 2664.
ensure national coordination with other federally supported agricul-
tural research and extension programs, administration of each State
program shall be the responsibility of the colleges and universities
eligible to receive funds under the Act of July 2,1862, and the Act of
August 30,1890, including Tuskegee Institute. In States that contain
more than one such institution, such administration shall be the
responsibility of the institution designated by mutual agreement of
all such institutions, subject to approval by the Secretary of Agricul-
ture. The Secretary shall pay funds available to each State to such
institution or university. Such administration shgdl be coordinated
with other federally supported agricultural research and extension
programs conducted in the State.
"(b) All private and publicly supported colleges and universities in
a State shall be eligible to participate in programs authorized under
this title. Officials at universities or colleges other than those
responsible for administering the programs that wish to participate
in these programs shall submit program proposals to the college or
university officials responsible for administering the programs who
shall consider such proposals in the process of developing the budgets
and plans of work.
"(c) The institution of each State responsible for administering the
programs authorized under this title shall designate an official who
shall be responsible for the overall coordination of the programs.
"(d) The institution in each State responsible for administering the
programs authorized under this title shall name an advisory council
to review and approve budgets and plans of work conducted under
this title and to advise the chief administrative officer of the institu-
95 STAT. 1326 PUBLIC LAW 97-98—DEC. 22, 1981
tion administering the programs on matters pertaining to the pro-
grams. An existing State rural development committee or council
may be named to perform this function, or a new council may be
appointed by the chief administrative officer or officers. The commit-
tee or council named or appointed shall consist of at least twelve
members and shall include persons representing farmers, business,
labor, banking, local government, multicounty planning and develop-
ment districts, public and private colleges and universities in the
State, and Federal and State agencies involved in rural development.
7 use 2665. "SEC. 505. WITHHOLDING FUNDS.—If the Secretary of Agriculture
determines that a State is not eligible to receive part or all of the
funds to which it is otherwise entitled for programs under sections
502(a) and 502(b) of this title because of a failure to comply with
regulations issued by the Secretary under this title, the facts and
reasons therefor shall be reported to the President, and the amount
involved shall be kept separate in the Treasury until the expiration of
the Congress next succeeding the session of the legislature of the
State from which funds have been withheld in order that the State
may, if it should so desire, appeal to Congress from the determination
of the Secretary. If the next Congress shall not direct such sum to be
paid, it shall be covered into the Treasury. If any portion of the
moneys that are received by the designated officers of any State for
the support and maintenance of programs authorized under this title
shall by any action or contingency be diminished or lost, or be
misapplied, it shall be replaced by the State.
7 use 2666. "SEC. 506. DEFINITIONS.—For the purposes of this title—
"(a) 'rural development' means the planning, financing, and
development of facilities and services in rural areas that contrib-
ute to making those areas desirable places in which to live and
make private and business investments; the planning, develop-
ment, and expansion of business and industry in rural areas to
provide increased employment and income; the planning, devel-
opment, conservation, and use of land, water, and other natural
i resources of rural aresis to maintain or improve the quality of the
environment for people and business in rural areas; and the
building or improvement of institutional, organizational, and
leadership capacities of rural citizens and leaders to define and
resolve their own community problems;
"(b) 'State' means the several States, the Commonwealth of
Puerto Rico, Guam, Americem Samoa, the Virgin Islands of the
United States, and the Commonwealth of the Northern Mariana
Islands; and
"(c) 'small farm' means any farm (1) producing family net
income from all sources (farm and nonfarm) below the median
nonmetropolitan income of the State; (2) operated by a family
dependent on farming for a significant though not necessarily a
majority of its income; and (3) on which family members provide
most of the labor and management.
7 use 2667. "SEC. 507. REGULATIONS.—The Secretary of Agriculture may issue
such regulations as the Secretary determines necessary to carry out
the provisions of this title.".
Repeal. 0)) Section 509 of the Rural Development Act of 1972 (7 U.S.C. 2669)
is redesignated as section 508, and section 510 of the Rural Develop-
ment Act of 1972 (7 U.S.C. 2670) is repealed.
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1327
INCREASED EMPHASIS ON MARKETING EDUCATION PROGRAMS FOR
SMALL AND MEDIUM SIZE FAMILY FARMING OPERATIONS
SEC. 1445. In carrying out marketing research and education 7 u s e 2271.
programs, the Secretary of Agriculture shall take such steps as may
be necessary to increase the efforts of the Department of Agriculture
in providing marketing education programs for persons engaged in
small and medium size family farm operations.
SOYBEAN RESEARCH ADVISORY INSTITUTE
SEC. 1446. (aXD There is established within the Department of Establishment.
Agriculture a temporary advisory body to be known as the Soybean 7 u s e 2281 note.
Research Advisory Institute (hereinafter in this section referred to as
the "Advisory Institute").
(2) The Advisory Institute shall be composed of eleven members
appointed by the Secretary of Agriculture (hereinafter in this section
referred to as the "Secretary"). Members appointed to the Advisory
Institute shall be individuals who are recognized soybean research
experts and shall represent the interest of soybean producers, soy-
bean processors, land grant colleges and universities, Federal re-
search agencies, and private industry. The Secretary shall, to the
maximum extent practicable, balance the membership of the Adviso-
ry Institute geographically on the basis of the soybean producing
areas of the United States.
(3) The Secretary shall designate a representative of the soybean
producers to serve as Chairman of the Advisory Institute.
(b) It shall be the function of the Advisory Institute to— Functions.
(1) assess the effectiveness of the ongoing soybean research
programs in the United States;
(2) assess the impediments to increased United States soybean
production, including the soybean cyst nematode, and consider
the most effective means of removing such impediments;
(3) evaluate the available means and the potential for increase
ing soybean production in the United States;
(4) estimate the amount of funds required to carry out a
coordinated program of national soybean research to develop
means of effectively increasing the overall United States soybean
production and profitability; and
(5) develop plans for and sponsor an international conference
on soybean research for the purpose of comparing and sharing
current information on the production and utilization of
soybeans.
(c) The Advisory Institute shall submit to the Senate Committee on Report to
Agriculture, Nutrition, and Forestry and the House Committee on congressional
Agriculture, not later than March 1,1983, a comprehensive report on committees.
the findings of the Advisory Institute regarding research on soybean
production and utilization. The Advisory Institute shall also include Recommendations.
in such report its recommendations for actions that should be taken
to ensure that an effective soybean research program is carried out in
the United States.
(d) Members shall receive no compensation for service on the Compensation.
Advisory Institute but may be paid, while in the performance of their
duties away from their homes or regular places of business, travel
expenses, including per diem in lieu of subsistence, as authorized by
sections 5701 through 5707 of title 5, United States Code, for persons
employed intermittently in Government service.
95 STAT. 1328 PUBLIC LAW 97-98—DEC. 22, 1981
(e) The Advisory Institute shall cease to exist on the day on which it
submits its report to the committees referred to in subsection (c).
ADMINISTRATIVE JURISDICTION OVER LANDS
SEC. 1447. It is the intent of Congress that dual administration and
jurisdiction by the Departments of Agriculture and the Interior over
certain lands currently administered by the Secretary of Agriculture
should be avoided. Therefore, the Secretary of Agriculture shall have
sole administrative jurisdiction of the following described lands: The
United States Sheep Experiment Station in Idaho and Summer
Range in Montana. These lands, containing a total of 45,013 acres of
land, more or less, were withdrawn by Executive Orders 3767, dated
December 19,1922; 2268, dated October 30,1915; 2491, dated Novem-
ber 21,1916; 3141, dated August 6,1919; and 3165, dated September 3,
1919, for agricultural experiment purposes.
TITLE XV—RESOURCE CONSERVATION
Subtitle A—Soil and Water Conservation
POUCY
16 use 3401. SEC. 1501. Congress hereby reaffirms its policy to promote soil and
water conservation, improve the quality of the Nation's waters, and
preserve and protect natural resources through the use of effective
conservation and pollution abatement programs.
Subtitle B—Special Areas Conservation Program
FINDINGS
16 use 3411. SEC. 1502. Congress finds that—
(1) studies by the Department of Agriculture indicate that
billions of tons of soil are eroded annusilly from non-Federal
lands in the United States, much of which represents soil eroded
from cropland;
(2) nearly one-half of the four hundred and thirteen million
acres of cropland have soils with moderate, high, or very high
risk of damage by sheet and rill erosion;
(3) the severity of erosion-related problems varies widely from
one geographic area to the next;
(4) some of the most productive agricultural areas of the
United States are also those having the most serious and chronic
erosion-related problems;
(5) solutions to such chronic erosion-related problems should be
designed to address the local social, economic, environmental,
and other conditions unique to the area involved to ensure that
the goals and policies of the Federal Government are effectively
integrated with the concerns of the local community;
(6) certain range and peisturelands in the United States are
producing less than their potential and therefore their produc-
tive capacity could be substantially improved by application of
intensified range and pasture management practices; the protec-
tion of these lands is essential to controlling erosion, improving
ecological conditions, enhancing wildlife and riparian habitats,
improving water quality and 5deld, and meeting the need to
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1329
produce food and fiber in a manner that is more energy efficient;
and
(7) there is a need for—
(A) reducing seepage from on-farm and off-farm irrigation
ditches and conveyance systems;
(B) improving water conservation and utilization; and
(C) installing measures to capture on-farm irrigation
return flows.
FORlMtULATION AND IMPLEMENTATION OF SPECIAL AREAS
CONSERVATION PROGRAM
SEC. 1503. (a) The Secretary of Agriculture (hereafter in this 16 use 3412.
subtitle referred to as the "Secretary") shall establish a program for
the conservation of soil, water, and related resources in special areas
designated pursuant to section 1504 (hereafter in this subtitle re-
ferred to as "designated special areas") by providing technical and
financial assistance to owners and operators or groups of owners and
operators of farm, ranch, and certain other lands at their request.
Such assistance with respect to State, county, and other public land
shall be limited to those lands that are an integral part of a private
farm operating unit and under the control of the private landowner
or operator.
(b) To carry out the program established under this subtitle, the Contracts.
Secretary may enter into contracts with owners and operators of
farm, ranch, or other land in a designated special area having such
control over the land as the Secretary deems necessary. Contracts
may be entered into with respect to land in a designated special area
which is not farm or ranch land only if the erosion-related problems
of such land are so severe as to make such contracts with respect to
such land necessary for the effective protection of farm or ranch land
in that designated special area. Contracts under this subtitle shall be
designed to provide assistance to the owners or operators of such
farm, ranch, or other land to make voluntary changes in their
cropping systems which are needed to conserve or protect the soil,
water, and related resources of such lands, and to carry out the soil
and water conservation practices and measures needed under such
changed systems and uses.
(c) The basis for such contracts shall be a conservation plan Conservation
approved by the Secretary and the soil and water conservation P^^"-
<Ustrict in which the land on which the plan is to be carried out is
situated. The Secretary shall provide to the landowner or operator,
upon request, such technical assistance as may be needed to prepare
and submit to the Secretary a conservation plan that—
(1) incorporates such soil and other conservation practices and
measures as may be determined to be practicable to protect such
land from erosion or water-related problems;
(2) outlines a schedule for the implementation of changes in
cropping systems or use of land or of water and of conservation
practices and measures proposed to be carried out on the farm,
ranch, or other land during the contract period;
(3) is designed to take into account the local social, economic,
and environmental conditions, which will help solve the particu-
lar erosion or water-related problems of the designated area;
(4) may allow for such varying levels of conservation applica-
tion as are appropriate to address the problems and may be
developed to cover all or part of a farm, ranch, or other land as
determined to be necessary to solve the conservation problems;
95 STAT. 1330 PUBLIC LAW 97-98—DEC. 22, 1981
(5) may include practices and measures for enhancing fish and
wildlife and recreation resources and for reducing or controlling
agricultural-related pollution; and
(6) identifies those conservation practices and measures,
including planned grazing systems, needed to improve vegetative
conditions, reduce erosion, and conserve water on range and
pasturelands.
(d) The landowner or operator, in any contract entered into under
this subtitle, shall agree—
(1) to carry out the plan for the owner's or operator's farm,
ranch, or other land substantially in accordance with the sched-
ule outlined therein unless any requirement thereof is waived or
modified by the Secretary pursuant to subsection (f);
(2) to forfeit further payments under the contract and refund
to the United States all pajnnents received thereunder, including
interest, upon violation by the owner or operator of the contract
at any stage during the time the owner or operator has control of
the land if the Secretary, after considering the recommendations
of the soil and water conservation district board for the district in
which the lands are located, determines that such violation is of
such a nature as to warrant termination of the contract, or to
make refunds, including interest, or accept such payment adjust-
ments as the Secretary may deem appropriate if the Secretary
determines that the violation by the owner or operator does not
warrant termination of the contract;
(3) not to adopt any practice or measure specified by the
Secretary in the contract which would tend to defeat the pur-
poses of the contract; and
(4) upon transfer, during the contract period, of the rights or
interests of the owner or operator in the farm, ranch, or other
land on which the plan is to be carried out, to forfeit all rights to
further payments under the contract and refund to the United
States all payments received thereunder, including interest,
unless the transferee of any such land agrees with the Secretary
to assume all obligations of the contract.
(e) In return for such agreement by the landowner or operator, the
Secretary shall agree to share the cost of carrying out those conserva-
tion practices and measures set forth in the contract for which the
Secretary determines that cost sharing is appropriate and in the
public interest. The portion of the costs to be shared shall be that part
which the Secretary determines is necessary and appropriate to
effectuate the implementation, and, if applicable, the maintenance of
the conservation practices and measures under the contract, includ-
ing the cost of labor. In determining the share of costs to be borne by
the Federal Government, the Secretary shall take into consideration
the particular social, economic, and environmental conditions of the
geographic area involved and the degree of conservation to be
achieved. The Secretary shall determine the maximum amount of
cost-share assistance that may be provided to any single recipient. If
adjustments from cultivated crops to permanent vegetative cover or
changes in crop varieties are undertaken as a conservation practice
or measure under the contract, cost-share assistance may be provided
under such contract with regard to the income lost as a result of such
adjustments.
Termination or (f) The Secretary may terminate any contract with a landowner or
Sntracts °" °^ operator by mutual agreement with the owner or operator if the
Secretary determines that such termination would be in the public
interest. The Secretary may agree to such modification of contracts
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1331
previously entered into as the Secretary may determine to be desir-
able to carry out the purposes of the program or facilitate the
practical administration thereof or to accomplish equitable treat-
ment with respect to similar conservation or other programs adminis-
tered by the Secretary.
(g) The Secretary may also enter into contracts with lemdowners or
operators for the purpose of maintaining any conservation practice or
measure established under this subtitle or other conservation prac-
tice or measure which has been adequately established, and to
provide necessary assistance to retain the practice or measure on the
land. The provisions and administration of such contracts shall be in
accordance with the requirements set forth in subsections (b) through
(f) of this section.
PROGRAM TO BE DIRECTED AT SPECIFIC PROBLEMS
SEC. 1504. (a) The program established under this subtitle shall be 16 use 3413.
directed toward identifying and correcting such erosion-related or
water management-related problems as may exist within each desig-
nated special area. Assistance under this subtitle may be provided to
any geographic area of the United States only if such area is first
designated by the Secretary as having severe and chronic erosion-
related or water management-related problems.
(b) In designating a geographic area as a special area under this
subtitle, the Secretary shall review nationad resources inventory
data, river basin plans, special studies, and other resource informa-
tion; consider tons of soil loss prevented, acres protected, and volume
of water conserved; and evaluate the degree and t } ^ of interagency
cooperation, the degree of local acceptance of the planned target
activity, and the significant favorable and adverse impacts of the
targeted activity. The Secretary shall prepare and publish a report Report.
setting forth an assessment of the problems, objectives, and priorities
in such area, and a schedule for the implementation of the program
under this subtitle. The report shall also indicate how the program
with respect to such area takes into consideration ongoing programs
of Federal, State, and local agencies, including soil conservation
districts, relating to soil and water conservation, pollution abate-
ment, or the improvement or protection of forest land. The Secretary
shall, to the extent practicable, assure that all Department of
Agriculture conservation programs operating in a designated special
area complement the conservation objectives outlined for such area.
CONTRACT UMITATIONS
SEC. 1505. Special areas may be designated pursuant to section 1504 16 use 3414.
of this subtitle at any time within the period beginning on the date of
enactment of this subtitle and ending on September 30, 1991. Con-
tracts authorized by subsections (b) and (g) of section 1503 of this
subtitle may be entered into at any time within ten years after the
designation of the special area to which they relate and may not
exceed ten years in duration. The total dollar amount of such
contracts that may be entered into in any one fiscal year shall not
exceed such amounts as may be provided for in advance in appropri-
ations Acts.
95 STAT. 1332 PUBLIC LAW 97-98—DEC. 22, 1981
NOTIFICATION OF CONGRESS AND APPROVAL OF DESIGNATIONS
16 use 3415. SEC. 1506. The Secretary shall submit a copy of each special area
report developed and published pursuant to section 1504(b) of this
subtitle to the Committee on Agriculture, Nutrition, and Forestry of
the Senate and to the Committee on Agriculture of the House of
Representatives at least forty-five daj^s prior to entering into any
contract under section 1503 of this subtitle with respect to land in the
designated special area.
UTILIZATION OF SERVICES AND FACILITIES
16 use 3416. SEC. 1507. In carrying out the provisions of this subtitle, the
Secretary may utilize the services of local, county, and State commit-
tees established under section 8(b) of the Sou Conservation and
16 use 590h. Domestic Allotment Act and the technical services of the Department
of Agriculture, soil and water conservation districts, and other State
or IcKcal agencies. The Secretary may utilize the services and facilities
of the Commodity Credit Corporation in carrying out this subtitle.
IMPROVEMENT OF TECHNOLOGY
16 use 3417. SEC. 1508. The Secretary may expend funds directly or through
grants for such research as is needed to assist in developing new or
improving existing technologies for controlling erosion or water-
related problems in designated special areas.
AUTHORIZATION FOR APPROPRIATIONS
16 use 3418. SEC. 1509. There are authorized to be appropriated annually, to be
available until expended, such sums as may be necessary to carry out
the program authorized by this subtitle.
REPORT TO CONGRESS
16 use 3419. SEC. 1510. The Secretary shall submit a report to Congress by
January 1,1986, and at the end of eachfive-y^earinterval thereafter
concerning the operation of the program provided for in this subtitle.
Such report shall contain an evaluation of the operation of such
program and shall include recommendations for such additional
legislation as may be necessary to solve identified soil, water, and
related resources problems in areas designated by the Secretary
under this subtitle and to utilize new technology and research related
to such problems.
PROTECTION OF PARTICIPANTS
16 use 3420. SEC. 1511. No person shall be disqualified from participating in, or
suffer any forfeiture or reduction in benefits under, any other pro-
gram administered by the Secretary by virtue of participation in the
program provided for in this subtitle.
Subtitle C—Amendments to the Small Watershed Program and to
the Bankhead-Jones Farm Tenant Act
AMENDMENTS TO SMALL WATERSHED PROGRAM
SEC. 1512. (a) Section 2 of the Watershed Protection and Flood
Prevention Act (16 U.S.C. 1002) is amended bj; changing the period at
the end thereof to a semicolon and inserting immediately thereafter
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1333
the following: "or any Indian tribe or tribal organization, as defined
in section 4 of the Indian Self-Determination and Education Assist-
ance Act (25 U.S.C. 450b), having authority under Federal, State, or
Indian tribal law to carry out, maintain, and operate the works of
improvement/'.
Ob) Section 2 of the Watershed Protection and Flood Prevention Act
(16 U.S.C. 1002) is further amended by striking out "$1,000,000" and
inserting in lieu thereof "$5,000,000".
(c) Section 3(6) of the Watershed Protection and Flood Prevention
Act (16 U.S.C. 1003(6)) is amended by inserting "energy," after
"wildlife,".
(d) Section 4(1) of the Watershed Protection and Flood Prevention
Act (16 U.S.C. 1004(1)) is amended by changing the semicolon at the
end thereof to a colon and inserting immediately thereafter the
following: "Provided further. That the Secretary shall be authorized
to bear an amount not to exceed one-half of the costs of the land,
easements, or rights-of-way acquired or to be acquired by the local
organization for mitigation of fish and wildlife habitat losses, and
that such acquisition is not limited to the confines of the watershed
project boundaries;".
(e) Section 5(3) of the Watershed Protection and Flood Prevention
Act (16 U.S.C. 1005(3)) is amended by striking out "$1,000,000" and
inserting in lieu thereof "$5,000,000".
(f) Section 5(4) of the Watershed Protection and Flood Prevention
Act (16 U.S.C. 1005(4)) is amended by striking out "$1,000,000" and
inserting in lieu thereof "$5,000,000".
AMENDMENT TO THE BANKHEAD-JONES FARM TENANT ACT
SEC. 1513. Section 31 of title III of the Bankhead-Jones Farm
Tenant Act (7 U.S.C. 1010) is amended by inserting "developing
energy resources," after "dams and reservoirs,".
Subtitle D—Matching Grants for Conservation Activities
GRANTS PROGRAM
SEC. 1514. (a) The Secretary of Agriculture (hereafter referred to in 16 USC 3431.
this subtitle as the "Secretary") may formulate and implement a
program for furthering the conservation of soil, water, and related
resources through annual grants to local units of government
through State soil conservation agencies. Such grants shall be for
noncapital expenditures in furtherance of local and State conserva-
tion objectives specified in section 1516 of this subtitle.
(b) Such grants shall be made to augment rather than to replace
other technical and financial assistance programs of the Department
of Agriculture.
(c) A local unit of government may be eligible for a grant under
subsection (a) if it—
(1) has in effect a current long-range program which the State
soil conservation agency determines is adequate to meet local
and State laws and objectives;
(2) has in effect a current annual work plan which is consistent
with the long-range program in paragraph (1) of this subsection;
and
(3) certifies to the Secretary or the Secretary's designee at the
State level that it has arranged for equal matching funds or in-
95 STAT. 1334 PUBLIC LAW 97-98—DEC. 22, 1981
kind services to the local unit from regional, State, local, or
private sources.
(d) Whenever the Secretary determines that a component of
the long-range program or annual work plan involves primarily a
national rather than a local or State objective, the State or local
matching funds required for the national component of the long-
range program or annual plan need not exceed 25 per centum of the
total funds required to accomplish the national objective. The Secre-
tary, by regulation, shall define those objectives which are national
in scope.
PROGRAM IMPLEMENTATION AND REVIEW
16 use 3432. SEC. 1515. (a) The State soil conservation agency, the State agricul-
tural stabilization and conservation committee, and the Secretary or
the Secretary's designee at the State level shall review programs and
work plans under section 1514(c) of this subtitle, and may recommend
additions or changes in order to meet urgent State, multistate, and
national conservation needs or priorities as developed under the Soil
16 use 2001 and Water Resources Conservation Act of 1977 or similar authority.
^°^- (b) For purposes of implementing the program and plan, the local
unit of government is encouraged to seek information from and the
cooperation of—
(1) local agencies, organizations, and citizens; and
(2) agencies of the Department of Agriculture or other Federal
agencies, cooperative extension services, and others that may be
designated by the Secretary or the Governor to serve as advisers.
PLANS
16 use 3433. SEC. 1516. (a) Long-range programs and annual work plans may
include any of the following soil, water, and related resource conser-
vation objectives: (1) soil erosion prevention and control; (2) cropland,
forest, woodland, pasture, or rangeland improvement; (3) water
conservation, development, and management, and water quality
improvement; (4) agricultural land retention or preservation; (5)
demonstration projects to test and publicize the effectiveness of
natural resource management systems adapted to local conditions; (6)
fish and wildlife habitat improvement; (7) animal waste manage-
ment; (8) watershed protection and flood prevention; (9) sediment
control and stormwater management in urbanizing areas; (10) envi-
ronmentally sound energy conservation and production; (11) leader-
ship in natural resources aspects of rural community planning and
development; or (12) any other purpose authorized or required by
local or State conservation laws.
(b) If an objective has been identified which will require more than
one year to complete or reach, the Secretary or the Secretary's
designee may enter into a long-term agreement of not more than ten
years with the local unit of government or State agency to provide
funding assistance for the term of the agreement. Such assistance
shall be contingent upon the amount of funds appropriated under
section 1519 of this subtitle.
MATCHING FUNDS
16 use 3434. SEC. 1517. (a) Federal matching grant funds, £is mutually agreed
upon by the State soil conservation agency and the Secretary, may be
used to provide technical assistance to landowners and operators for
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1335
planning and application of soil and water conservation practices and
measures and natural resource management systems.
(b) Such technical assistance shall be administered by the State soil
conservation agency through local soil and water conservation dis-
tricts.
(c) Such technical assistance shall be fully coordinated with techni-
cal assistance provided through ongoing Federal, State, and local
resource conservation programs, and shall be in accord with estab-
lished technical standards or guidelines.
(d) The basis for the transfer of grant funds shall be a grant
agreement entered into by the Secretary or the Secretary's designee
with the local unit of government or State agency.
RECORDS
SEC. 1518. (a) Each local unit of government or State agency 16 use 3435.
receiving assistance under this subtitle shall keep such records as the
Secretary requires, including records which fully disclose the amount
and disposition by such unit or agency of the proceeds of such grants,
the total cost of the projects or undertakings in connection with
which such funds are given or used, and the amount of that portion of
the costs of the projects or undertakings supplied by other sources,
and such other records as will facilitate an effective audit.
(b) The Secretary and the Comptroller General of the United States
or any of their duly authorized representatives shall have access for
the purpose of audit and examination to any books, documents,
papers, and records of each local unit of government or State agency
that are pertinent to the grants under this subtitle.
AUTHORIZATION FOR APPROPRIATIONS
SEC. 1519. (a) There are authorized to be appropriated such sums as l^ use 3436.
may be necessary to carry out the provisions of this subtitle, such
sums to remain available until expended.
(b) No funds shall be appropriated to carry out this subtitle for the
fiscal year beginning October 1, 1992, and subsequent fiscal years,
except as authorized by law enacted after the effective date of this
subtitle.
(c) The Secretary shall report to the House Committee on Agricul- Report to
ture and the Senate Committee on Agriculture, Nutrition, and congressional
Forestry on the progress of the program authorized by this subtitle. ^^"^"^^ ®®^-
The first such report shall be submitted by January 1, 1986, and a
succeeding report by January 1,1991. Each such report shall include
an evaluation of the program and the Secretary's recommendations
for strengthening it.
Subtitle E—Conservation Loan Program
CONSERVATION LOANS
SEC. 1520. (a) Section 4(h) of the Commodity Credit Corporation
Charter Act is amended by inserting immediately after the second 15 use 7i4b.
sentence the following: "To encourage the alleviation of natural
resource conservation problems that reduce the productive capacity
of the Nation's land and water resources or that cause degradation of
environmental quality, the Corporation may, beginning with enact-
ment of the Agriculture and Food Act of 1981, make loans to any
agricultural producer for those natural resource conservation and
89-194 0—82 86:QL3
95 STAT. 1336 PUBLIC LAW 97-98—DEC. 22, 1981
environmental enhancement measures that are recommended by the
applicable county and State committees established under section
16 use 590h. 8(b) of the Soil Conservation and Domestic Allotment Act and are
included in the producer's conservation plan approved by the local
soil and water conservation district; such loans shall be for a period
not to exceed ten years at a rate of interest based upon the rate of
interest charged the Corporation by the United States Treasury; the
Corporation may make loans to any one producer in any fiscal year in
an amount not to exceed $25,000; loans up to $10,000 in amount may
be unsecured and loans in excess of $10,000 shall be secured; and the
total of such unsecured and secured loans made in each fiscal year
shall not exceed $200,000,000: Provided, That the authority provided
by this sentence to make loans shall be effective only to the extent
and in such amounts as may be provided for in prior appropriation
Acts.".
Subtitle F—Reservoir Sedimentation Reduction Program
FORMULATION OF PROGRAM
16 use 3441. SEC. 1521. The Secretary of Agriculture (hereafter referred to in
this subtitle as the "Secretary") may formulate and implement a
program for testing the feasibility of reducing excessive sedimenta-
tion in existing reservoirs. Such an assistance program shall be
implemented on the watershed drainage areas of no more than five
publicly owned reservoirs. The Secretary shall select for the program
those reservoirs in which excessive amounts of sediment are being
deposited because of critical soil erosion problems in the watershed
drainage area.
PLANS
16 use 3442. SEC. 1522. For each reservoir and drainage area selected under
section 1521 of this subtitle, a plan shall be prepared that includes an
assessment of the problems, a listing of objectives and priorities, and
Agreement. an implementation plan for achieving the objectives. The Secretary
shall enter into an agreement with the soil and water conservation
districts containing land within the reservoir or drainage area, an
agency of State government designated by the Governor, and units of
local government that have recognized interests in the reservoir, for
the purpose of preparing the plan. The plan shall be signed by the
Secretary, or the Secretary's designee, and the other parties to the
agreement.
APPROVAL OF PLANS
16 use 3443. SEC. 1523. The Secretary shall submit each plan developed under
section 1522 of this subtitle to the (IJommittee on Agriculture, Nutri-
tion, and Forestry of the Senate and the Committee on Agriculture of
the House of Representatives. The Secretary may implement any
such plan only after each such committee adopts a resolution approv-
ing the plan.
AUTHORIZATION FOR APPROPRIATIONS
16 use 3444. SEC. 1524. There are authorized to be appropriated, for each of the
fiscal years 1983 through 1987, such sums as may be necessary for
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1337
carrying out the provisions of this subtitle, such sums to remain
avaai^e until expended.
REPORT
SEC. 1525. The Secretary shall submit a report evaluating the 16 use 3445.
program authorized under this subtitle to Congress by January 1,
1987. The report shall include a recommendation as to whether the
program should be extended and, if so, how it could be strengthened.
Subtitle G—^Volunteers for Department of Agriculture Programs
ESTABLISHMENT OF PROGRAM
SEC. 1526. (a) The Secretary of Agriculture (hereafter referred to in '? use 2272.
this subtitle as the "Secretaiy") may establish a program to use
volunteers in canying out tne programs of the Department of
Agriculture.
(b) The Secretary may accept, subject to regulations issued by the
Office of Personnel Management, voluntary service for the Depart-
ment of A^culture for such purpose if the service:
(1) is to be without compensation; and
(2) wiU not be used to displace any employee of the Department
of Agriculture including the local, county, and State committees
established under section 8(b) of the Soil Conservation and
Domestic Allotment Act. 16 use 590h.
(c) Any individual who provides voluntary service under this
subtitle shall not be considered a Federal employee, except for
purposes of chapter 81 of title 5, United States Code (relating to 5 use sioi
compensation for injury), and sections 2671 through 2680 of title 28, ^^ *^^
United States Code (relating to tort claims).
AUTHORIZATION FOR APPROPRIATIONS
SEC. 1527. There are authorized to be appropriated such sums as ^ use 2272 note.
may be necessary to carry out the provisions of this subtitle, such
sums to remain available until expended.
Subtitle H—Resource Conservation and Development Program
PURPOSE
SEC. 1528. It is the pun)ose of this subtitle to encourage and 16 use 3451.
improve the capability of State and local units of government and
local nonprofit organizations in rural areas to plan, develop, and
carry out p n ^ a m s for resource conservation and development.
DEFINITIONS
SEC. 1529. As used in this subtitle— 16 use 3452.
(1) The term "area plan" means a resource conservation and
utilization plan which is developed for a designated area of a
State or States through a planning process and which includes
one or more of the following elements:
(A) a land conservation element, the purpose of which
shall be to control erosion and sedimentation;
(B) a water management element, the purpose of which
shall be to provide for the conservation, utilization, and
quahty of water, including irrigation and rural water sup-
plies, the mitigation of floods and high water tables, con-
95 STAT. 1338 PUBLIC LAW 97-98—DEC. 22, 1981
struction, repair, and improvement of dams and reservoirs,
improvement of agricultural water management, and
improvement of water quality through control of nonpoint
sources of pollution;
(C) a community development element, the purpose of
which shall be the development of natural resources based
industries, protection of rural industries from natural
resource hazards, development of aquaculture, development
of adequate rural water and waste disposal systems, im-
provement of recreation facilities, improvement in the qual-
ity of rural housing, provision of adequate health and educa-
tion facilities, and satisfaction of essential transportation
and communication needs; or
(D) other elements, the purpose of which may include
energy conservation or protection of agricultural land, as
appropriate, from conversion to other uses, or protection of
fish and wildlife habitats.
(2) The term "designated area" means a geographic area
designated by the Secretary to receive assistance under this
subtitle.
(3) The term "planning process" means the continuous effort
by any State, local unit of government, or local nonprofit organi-
zation to develop and carry out effective resource conservation
and utilization plans for a designated area, including develop-
ment of an area plan, goals, objectives, policies, implementation
activities, evaluations and reviews, and the opportunity for
public participation in such efforts.
(4) The term "financial assistance" means the cost-sharing
arrangements that are available under this subtitle through
Federal contracts, grants, or loans.
(5) The term "local unit of government" means any county,
city, town, township, parish, village, or other general-purpose
subdivision of a State, any local or regional special district or
other limited political subdivision of a State, including any soil
conservation district, school district, park authority, and water
or sanitary district, or any Indian tribe or tribal orgemization
established under Federal, State, or Indian tribal law.
(6) The term "nonprofit organization" means any community
association, wildlife group, or resource conservation organization
that is incorporated and approved by the Secretary for the
purpose of providing to any rural area those public facilities or
services included in the area plan for such rural area.
(7) The term "Secretary" means the Secretary of Agriculture.
(8) The term "State" means the several States, the District of
Columbia, the Commonwealth of Puerto Rico, the Virgin Islands
of the United States, Guam, the Commonwealth of the Northern
Mariana Islands, the Trust Territory of the Pacific Islands, and
American Samoa.
(9) The term "technical assistance" means any service pro-
vided by personnel of the Depeurtment of Agriculture or non-
Federal personnel working through the Department of Agricul-
ture, including, but not limited to, inventor3dng, evaluating,
planning, designing, supervising, laying out and inspecting
works of improvement, and the providing of maps, reports, and
other documents associated with the services provided.
(10) The term "works of improvement" means the facilities
instidled or being installed in accord with an area plan.
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1339
RESOURCE CONSERVATION AND DEVELOPMENT PROGRAM
SEC. 1530. The Secretary shall establish a resource conservation Establishment.
and development program under which the Secretary shall make ^^ ^^^ ^^^^
available to States, local units of government, and local nonprofit
organizations the technical and financial assistance necessary to
permit such States, local units of government, and local nonprofit
organizations to operate and maintain a planning and implementa-
tion process needed to conserve and improve the use of land, develop
natural resources, and improve and enhance the social, economic,
and environmental conditions in rural areas of the United States.
SELECTION OF NEW DESIGNATED AREAS
SEC. 1531. The Secretary shall select designated areas for assist- 16 use 3454.
ance under this subtitle on the basis of the elements specified in
section 1529(1).
AUTHORITY OF THE SECRETARY
SEC. 1532. In carrying out the provisions of this subtitle, the 16 use 3455.
Secretary may—
(1) provide technical assistance to any State, local unit of
government, or local nonprofit organization within a designated
area to assist in developing and implementing an area plan for
that area;
(2) cooperate with other departments and agencies of the
Federal Government, State, and local units of government, and
with local nonprofit organizations in conducting surveys and
inventories, disseminatmg information, and developing area
plans;
(3) assist in carrying out an area plan approved by the
Secretary for any designated area by providing technical and
financial assistance to any State, local unit of government, or
local nonprofit organization designated to receive such assist-
ance by the Governor or legislature of the State concerned; and
(4) enter into agreemente with States, local units of govern-
ment, and local nonprofit organizations, as provided in section
1533.
AGREEMENTS; TERMS AND CONDITIONS
SEC. 1533. (a) Technical and financial assistance, including loans, 16 use 3456.
may be provided by the Secretary to any State, local unit of govern-
ment, or local nonprofit organization to assist in carrying out works
of improvement specified in an area plan approved by the Secretary
only if—-
(1) such State, local unit of government, or local nonprofit
organization agrees in writing to carry out such works of
improvement and to finance or arrange for financing of any
portion of the cost of carrying out such works of improvement for
which financial assistance is not provided by the Secretary under
this subtitle;
(2) the works of improvement for which assistance is to be
provided under this subtitle are included in an area plan and
nave been approved by the State, local unit of government, or
local nonprofit organization to be assisted;
(3) the Secretary determines that assistance to finance the type
of works of improvement concerned is not reasonably available
to such State, local unit of government, or local nonprofit
oiganization under any other Federal program;
95 STAT. 1340 PUBLIC LAW 97-98—DEC. 22, 1981
(4) the works of improvement provided for in the area plan are
consistent with any current comprehensive plan for such area;
(5) the cost of the land or an interest in the land acquired or to
be acquired under such plan by any State, local unit of govern-
ment, or local nonprofit organization is borne by such State, local
unit of government, or local nonprofit organization; and
(6) the State, local unit of government, or local nonprofit
organization participating in an area plan agrees to maintain
and operate all works of improvement installed under such plan.
(b) Loans made under this subtitle shall be made on such terms and
conditions as the Secretary mav prescribe, except that such loans
shall have a repajmaent period oi not more than thirty years from the
date of completion of the work of improvement for which the loan is
made and snail bear interest at the average rate of interest paid by
the United States on its obligations of a comparable term, as
determined by the Secretary of the Treasury.
(c) Assistance may not be made available to any State, local unit of
government, or local nonprofit organization to carry out any area
plan unless such plan has been submitted to and approved by the
Secretary.
Withdrawal of (d) The Secretary may withdraw technical and financial assistance
assistance. with respect to any area plan if the Secretary determines that such
assistance is no longer needed or that sufificient progress has not been
made toward developing or implementing the elements of such plan.
RESOURCE CONSERVATION AND DEVELOPMENT POUCY BOARD
Establishment. SEC. 1534. (a) The Secretary shall establish within the Department
16 u s e 3457. of Agriculture a Resource Conservation and Development Policy
Board.
(b) Such board shall be composed of seven employees of the
Department of Agriculture selected by the Secretary. One member
shall be designated by the Secretary to serve as chairman.
(c) It shall be the function of such board to advise the Secretary
regarding the administration of the provisions of this subtitle, includ-
ing the formulation of policies for carrying out the program provided
for by this subtitle.
EVALUATION OF PROGRAM
16 use 3458. SEC. 1535. The Secretary shall evaluate the program provided for in
this subtitle to determine whether such program is effectively meet-
ing the needs of, and the objectives identified by, the States, local
units of government, and local nonprofit organizations participating
Report to in such program. The Secretary shall submit a report to Congress
eongress. Containing tne results of the evaluation not later than December 31,
1986, together with the Secretary's recommendations for continuing,
terminating, redirecting, or modifying such program.
LIMITATION ON PROVISION OP ASSISTANCE
16 use 3459. SEC. 1536. The program provided for in this subtitle shall be limited
to providing teclmical and financial assistance to not more than two
himdred and twenty-five active designated areas.
SUPPLEMENTAL AUTHORITY OF THE SECRETARY
16 use 3460. SEC 1537. The authority of the Secretary under this subtitle to
assist States, local units of government, and local nonprofit organiza-
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1341
tions in the development and implementation of area plans shall be
supplemental to, and not in lieu of, any authority of the Secretary
under any other provision of law.
AUTHORIZATION FOR APPROPRIATIONS
SEC. 1538. There are authorized to be appropriated for each of the i^ use 3461.
five fiscal years beginning October 1,1982, and ending September 30,
1987, such sums as may be necessary to carry out the provisions of
this subtitle, except that not more than $15,000,000 may be appropri-
ated for loans for any fiscal year. Funds appropriated pursuant to this
subtitle shall remain available until expended.
Subtitle I—Farmland Protection Policy Act Farmland
Protection
Policy Act.
SHORT TITLE
SEC. 1539. This subtitle may be cited as the "Farmland Protection ^ use 4201 note.
Policy Act".
FINDINGS, PURPOSE, AND DEFINITIONS
SEC. 1540. (a) Congress finds that— 7 use 4201.
(1) the Nation's farmland is a unique natural resource and
provides food and fiber necessary for the continued welfare of the
people of the United States;
(2) each year, a large amount of the Nation's farmland is
irrevocably converted from actual or potential agricultural use
to nonagricultural use;
(3) continued decrease in the Nation's farmland base may
threaten the ability of the United States to produce food and
fiber in sufficient quantities to meet domestic needs and the
demands of our export markets;
(4) the extensive use of farmland for nonagricultural purposes
undermines the economic base of many rural areas;
(5) Federal actions, in many cases, result in the conversion of
farmland to nonagriculturm uses where alternative actions
would be preferred;
(6) the Department of Agriculture is the agency primarily
responsible for the implementation of Federal policy with respect
to United States farmland, assuring the maintenance of the
agricultural production capacity of the United States, and has
the personnel and other resources needed to implement national
farmland protection policy; and
(7) the Department of Agriculture and other Federal agencies
should take steps to assure that the actions of the Federal
Government do not cause United States farmland to be irrevers-
ibly converted to nonagricultural uses in cases in which other
national interests do not override the importance of the protec-
tion of farmland nor otherwise outweigh the benefits of main-
taining farmland resources.
(b) The purpose of this subtitle is to minimize the extent to which
Federal programs contribute to the unnecessary and irreversible
conversion of farmland to nonagricultural uses, and to assure that
Federal programs are administered in a manner that, to the extent
practicable, will be compatible with State, unit of locsJ government,
and private programs and policies to protect farmland.
(c) As used in this subtitle—
(1) the term "farmland" includes all land defined as follows:
95 STAT. 1342 PUBLIC LAW 97-98—DEC. 22, 1981
(A) prime farmland is land that has the best combination
of physical and chemical characteristics for producing food,
feed, fiber, forage, oilseed, and other agricultural crops with
minimum inputs of fuel, fertilizer, pesticides, and labor, and
without intolerable soil erosion, as determined by the Secre-
tary. Prime farmland includes land that possesses the above
characteristics but is being used currently to produce live-
stock and timber. It does not include land already in or
committed to urban development or water storage;
(B) unique farmland is land other than prime farmland
that is used for production of specific high-value food and
fiber crops, as determined by the Secretary. It has the special
combination of soil quality, location, growing season, and
moisture supply needed to economically produce sustained
high quality or high 3delds of specific crops when treated and
managed according to acceptable farming methods. Exam-
ples of such crops include citrus, tree nuts, olives, cranber-
ries, fruits, and vegetables; and
(C) farmland, other than prime or unique farmland, that is
of statewide or local importance for the production of food,
feed, fiber, forage, or oilseed crops, as determined by the
appropriate State or unit of local government agency or
agencies, and that the Secretary determines should be con-
sidered as farmland for the purposes of this subtitle;
(2) the term "State" means any of the fifty States, the District
of Columbia, the Commonwealth of Puerto Rico, the Common-
wealth of the Northern Mariana Islands, the Trust Territory of
the Pacific Islands, or any territory or possession of the United
States;
(3) the term "unit of local government" means the government
of a county, municipality, town, township, village, or other unit
of general government below the State level, or a combination of
units of local government acting through an areawide agency
under State law or an agreement for the formulation of regional
development policies and pl£ms;
(4) the term "Federal program" means those activities or
responsibilities of a department, agency, independent commis-
sion, or other unit of the Federal Government that involve (A)
undertaking, financing, or assisting construction or improve-
ment projects; or (B) acquiring, managing, or disposing of Federal
lands and facilities. The term "Federal program ' does not
include construction or improvement projects that on the effec-
tive date of this subtitle are beyond the planning stage and are in
either the active design or construction state; and
(5) the term "Secretary" means the Secretary of Agriculture.
FARMLAND PROTECTION POUCY
7 use 4202. SEC. 1541. (a) The Department of Agriculture, in cooperation with
other departments, agencies, independent commissions, and other
units of the Federal Government, shall develop criteria for identify-
ing the effects of Federal programs on the conversion of farmland to
nonagricultural uses.
(b) Departments, agencies, independent commissions, and other
units of the Federal Government shall use the criteria established
under subsection (a) of this section, to identify and take into account
the adverse effects of Federal programs on the preservation of
farmland; consider alternative actions, as appropriate, that could
PUBLIC LAW 9 7 - 9 8 - D E C . 22, 1981 95 STAT. 1343
lessen such adverse effects; and assure that such Federal programs,
to the extent practicable, are compatible with State, unit of local
government, and private programs and policies to protect farmland,
(c) The Department of Agriculture may make available to States,
units of local government, individuals, organizations, and other units
of the Federal Government information useful in restoring, main-
taining, and improving the quantity and quality of farmland.
EXISTING POUCIES AND PROCEDURES
SEC. 1542, (a) Each department, agency, independent commission, '^ use 4203.
or other unit of the Federal Government, with the assistance of the
Department of Agriculture, shall review current provisions of law,
administrative rules and regulations, and policies and procedures
applicable to it to determine whether any provision thereof will
prevent such unit of the Federal Government from taking appropri-
ate action to comply fully with the provisions of this subtitle.
(b) Each department, agency, independent commission, or other
unit of the Federal Government, with the assistance of the Depart-
ment of Agriculture, shall, as appropriate, develop proposals for
action to bring its programs, authorities, and administrative activi-
ties into conformity with the purpose and policy of this subtitle.
TECHNICAL ASSISTANCE
SEC. 1543. The Secretary is encouraged to provide technical assist- 7 use 4204.
ance to any State or unit of local government, or any nonprofit
organization, as determined by the Secretary, that desires to develop
programs or policies to limit the conversion of productive farmland to
nonagricultural uses.
FARMLAND RESOURCE INFORMATION
SEC. 1544. (a) The Secretary, through existing agencies or inter- 7 USe 4205.
agency groups, and in cooperation with the cooperative extension
services of the States, shall design and implement educational pro-
grams and materials emphasizing the importance of productive
farmland to the Nation's well-being and distribute educational mate-
rials through communications media, schools, groups, and other
Federal agencies.
(b) The Secretary shall designate one or more farmland informa-
tion centers to serve as central depositories and distribution points
for information on farmland issues, policies, programs, technical
principles, and innovative actions or proposals by local and State
governments.
GRANTS; CONTRACTS
SEC. 1545. The Secretary may carry out the purposes of this 7 use 4206.
subtitle, with existing facilities and funds otherwise available,
through the use of grants, contracts, or such other means as the
Secretary deems appropriate.
REPORT
SEC. 1546. Within one year after the enactment of this subtitle, the ^ use 4207.
Secretary of Agriculture shall report to the Committee on Agricul-
ture, Nutrition, and Forestry of the Senate and the Committee on
Agriculture of the House of Representatives on the progress made in
95 STAT. 1344 PUBLIC LAW 97-98—DEC. 22, 1981
implementing the provisions of this subtitle. Such report shall
include information on—
(1) the effects, if any, of Federal programs, authorities, and
administrative activities with respect to the protection of United
States farmland; and
(2) the results of the reviews of existing policies and procedures
required under section 1542(a) of this subtitle.
STATEMENT OP UMTTATION
7 use 4208. SEC. 1547. (a) This subtitle does not authorize the Federal Govern-
ment in any way to regulate the use of private or non-Federal land, or
in any way affect the property rights of owners of such land.
(b) None of the provisions or other requirements of this subtitle
shall apply to the acquisition or use of farmland for national defense
purposes.
PROHIBITION
7 use 4209. SEC. 1548. This subtitle shall not be deemed to provide a basis for
any action, either legal or equitable, by any State, local unit of
government, or any person or class of persons challenging a Federal
project, program, or other activity that may affect farmland.
EFFECTIVE DATE
7 use 4201 note. SEC, 1549. The provisions of this subtitle shall become effective six
months after the date of enactment of this Act.
Subtitle J—Miscellaneous Provisions
LOCAL SEARCH AND RESCUE OPERATIONS
7 use 2273. SEC. 1550. The Secretary of Agriculture may assist, through the use
of Soil Conservation Service personnel, vehicles, commpnication
equipment, and other equipment or materials available to the Secre-
tary, in local search and rescue operations when requested by
responsible local public authorities. Such assistance may be provided
in emergencies caused by tornadoes, fires, floods, snowstorms, earth-
quakes, and similar disasters.
RECLAMATION
SEC. 1551. Section 406(d) of the Surfacing Mining Control and
Reclamation Act of 1977 (30 U.S.C. 1236(d)) is amended by adding at
the end thereof the following new sentence: "Notwithstanding any
other provision of this section with regard to acreage limitations, the
Secretary of Agriculture may carry out experimental reclamation
treatment projects to control erosion and improve water quality on
all lands within a hydrologic unit, consisting of not more than 25,000
acres, if the Secretary determines that treatment of such lands as a
hydrologic unit will achieve greater reduction in the adverse effects
of past surface mining practices than would be achieved if reclama-
tion was done on individual parcels of land.".
PAYMENTS FOR LAND REMOVED FROM PRODUCTION FOR CONSERVATION
PURPOSES
eontracts. SEC. 1552. (a) The Secretary of Agriculture may enter into con-
16 use 3471. tracts to provide financial assistance in the form of payments to
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1345
owners and operators of cropland located in counties where the soil
normally freezes to a depth of at least four inches annually who
remove such land from agricultural production for a period not to
exceed one year for the purpose of installing enduring conservation
measures which involve excavation of the soil. The payments under
such contracts shall be in such amounts as determined by the
Secretary to be necessary to effectuate the purposes of this subtitle
but shall not exceed an amount equal to the number of acres of
cropland removed from agricultural production for such purpose
multiplied by 50 per centum of the typical annual rent, as determined
by the Secretary, paid for similar land in the county. Financial
assistance may not be provided under this section with respect to any
conservation measure without the approval of the soil and water
conservation district board for the district in which the land is
located, and may not, in the aggregate, be provided in any year with
respect to more than one-half of 1 per centum of the cropland in any
county.
(b) There are authorized to be appropriated such sums as may be Appropriation
necessary to carry out the provisions of this section, such sums to authorization.
remain available until expended.
CONSERVATION TILLAGE
SEC. 1553. (a) Congressfindsthat— 16 use 3472.
(1) domestic and international demand for agricultural prod-
ucts from the United States is great and is expected to signifi-
cantly increase over the next twenty years;
(2) the ability of the United States to provide agricultural
products to meet that demand is seriously impaired by the
annual loss of five billion tons of soil due to wind and water
erosion;
(3) the battle against soil erosion is being lost despite the
annual expenditure of millions of dollars by the Federal Govern-
ment on research, technical assistance, and conservation incen-
tives to control soil erosion;
(4) conservation tillage practices are estimated to reduce soil
erosion by 50 to 90 per centum over conventional farming
practices; and
(5) conservation tillage may result in better jdelds, greater land
useflexibility,decreased fuel use, decreased labor and equipment
costs, increased retention of soil moisture, and more productive
land than conventional farming practices and may be adaptable
to a broad range of soil types and slopes throughout the country.
(b) It is the sense of Congress that the Secretary of Agriculture
should, and is hereby urged and requested to—
(1) direct the attention of our Nation's farmers to the costs and
benefits of conservation tillage as a means of controlling soil
erosion and improving profitability; and
(2) conduct a program of research designed to resolve any
unanswered questions regarding the advantages and disadvan-
tages of conservation tillage over other soil conservation prac-
tices.
REGULATIONS
SEC. 1554. The Secretary of Agriculture shall prescribe such regula- 16 use 3473.
tions as may be necessary to carry out the provisions of this title.
95 STAT. 1346 PUBLIC LAW 97-98—DEC. 22, 1981
TITLE XVI—CREDIT, RURAL DEVELOPMENT, AND FAMILY
FARMS
FARMERS HOME ADMINISTRATION REAL ESTATE AND OPERATING LOANS
TO COOPERATIVES
SEC. 1601. (a) The last sentence of section 302 of the Consolidated
Farm and Rural Development Act (7 U.S.C. 1922) is amended by
striking out "cooperatives, corporations, and partnerships", and
inserting in lieu thereof "corporations and partnerships", and by
inserting immediately before the period at the end thereof the
following: "in the case of cooperatives, corporations, and partner-
ships".
(b) The last sentence of section 311(a) of the Consolidated Farm and
Rural Development Act (7 U.S.C. 1941(a)) is amended by striking out
"cooperatives, corporations, and partnerships", and inserting in lieu
thereof "corporations and partnerships", and by inserting immedi-
ately before the period at the end thereof the following: "in the case of
cooperatives, corporations, and partnerships".
EQUALIZING ACCESS TO CREDIT FOR WIDOWS AND OTHER SINGLE
PARENTS
SEC. 1602. The second sentence of section 303(a) of the Consolidated
Farm and Rural Development Act (7 U.S.C. 1923(a)) is amended by
striking out "are married or".
LEASE OF FACHJTIES
SEC. 1603. Section 331(i) of the (Consolidated Farm and Rural
Development Act (7 U.S.C. 1981(i)) is amended by inserting immedi-
ately after "consent to" the following: "(1) long-term leases of facilities
financed under this title notwithstanding the failure of the lessee to
meet any of the requirements of this title if such long-term leases are
necessary to ensure the continuation of services for which financing
was extended to the lessor, and (2)".
BORROWER'S NET WORTH
SEC. 1604. Section 333(a) of the Consolidated Farm and Rural
Development Act (7 U.S.C. 1983(a)) is amended by mserting "(1)"
immediately after "the applicant" and inserting before the semicolon
at the end thereof the following: ", and (2) to furnish a written
statement showing the applicant's net worth".
E X T E N S I O N O F T H E E M E R G E N C Y A G R I C U L T U R A L CREDIT ADJUSTMENT
ACT OF 1978
SEC. 1605. Section 211 of the Emei^ency Agricultural Credit
AcUustment Act of 1978 (7 U.S.C. prec. 1961 note) is amended by
striking out "September 30, 1981 and inserting in lieu thereof
"September 30, 1982: Providedy That the Secretary may not make
new contracts of insurance or guarantee under this title that will
cause the total amount of money borrowed under such contracts
during any fiscal year to exceed $600,000,000".
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1347
FARM STORAGE FACILITY LOAN PROGRAM
SEC. 1606. Section 4(h) of the Commodity Credit Corporation
Charter Act, as amended by section 151 of the Omnibus Budget
Reconciliation Act of 1981, is amended by inserting after "growers" ^"^«' P 370.
at the end of the fourth proviso of the second sentence the following:
", except that the Secretary shall make such loans in areas in which
the Secretary determines that there is a deficiency of such storage".
RURAL TELEPHONE BANK AMENDMENT
SEC. 1607. Section 406 of the Rural Electrification Act of 1936 (7
U.S.C. 946) is amended b y -
CD inserting in the second sentence of subsection (a) "but not
later than fiscal year 1991" after "thereafter", and striking out
"$300,000,000" and inserting in lieu thereof "$600,000,000"; and
(2) striking out in the first sentence of subsection (c) "Septem-
ber 30,1985'^ and inserting in lieu thereof "September 30,1995",
and striking out "and after the amount of class A and class B
stock issued totals $400,000,000,".
UNITED STATES POLICY ON FAMILY FARMS
SEC. 1608. Section 102 of the Food and Agriculture Act of 1977 is 7 use 2266.
amended to read as follows:
"FAMILY FARMS
"SEC. 102. (a) Congress reaffirms the historical policy of the United
States to foster and encourage the family farm system of agriculture
in this coimtry. Congress believes that the maintenance of the family
farm system of agriculture is essential to the social well being of the
Nation and the competitive production of adequate supplies of food
and fiber. Congress farther believes that any significant expansion of
nonfamily owned large-scale corporate farming enterprises will be
detrimental to the national welfare. It is neither the policy nor the
intent of Congress that agricultural and agriculture-related pro-
grams be administered exclusively for family farm operations, but it
is the policy and the express intent of Congress that no such program
be administered in a manner that will place the family farm oper-
ation at an unfair economic disadvantage.
"(b) In order that Congress may be better informed regarding the Report to
status of the family farm system of agriculture in the United States, Congress.
the Secretary of Agriculture shall submit to Congress, by July 1 of
each year, a vmtten report containing current information on trends
in family farm operations and comprehensive national and State-by-
State data on nonfamily farm operations in the United States. The
Secretary shall also include in each such report (1) information on
how existing agricultural and agriculture-related programs are being
administered to enhance and strengthen the family farm system of
agriculture in the United States, (2) an assessment of how tax, credit,
and other Federal laws may encourage the growth of nonfamily farm
operations and investment in agriculture by nonfamily farm inter-
ests, both foreign and domestic, and (3) such other information as the
Secretary deems appropriate or determines would aid Congress in
protecting, preserving, and strengthening the family farm system of
agriculture in the United States. .
95 STAT. 1348 PUBLIC LAW 97-98—DEC. 22, 1981
Floral Research TITLE XVII—FLORAL RESEARCH AND CONSUMER
fnformronAct. INFORMATION
SHORT TITLE
7 use 4301 note. SEC. 1701. This title may be cited as the "Floral Research and
Consumer Information Act".
CONGRESSIONAL FINDINGS AND DECLARATION OF POUCY
7 use 4301. SEC. 1702. Flowers and plants are an integral part of American life,
contributing a natural and beautiful element, especially in urban
areas, to what is increasingly a manmade, eirtificial environment for
this country's citizens. Providing comfort and pleasure for many
special occasions as well as for everyday living, flowers and plants
work against visual pollution and, in the case of green plants,
generate oxygen within their environment. The flowers and plants to
which this title refers are cut flowers, potted.flowering plants, and
foliage plants. These flowers and plants are produced by many
individual producers throughout the United States and in foreign
countries. These products move in interstate and foreign commerce,
and those that do not move in such channels of commerce directly
burden or affect interstate commerce of these products. The mainte-
nance and expansion of existing markets and the development of new
or improved markets and uses are vital to the welfare of flower and
plant producers, brokers, wholesalers, and retailers throughout the
Nation. The floral industry within the United States ii^ comprised
mainly of small- and medium-sized businesses. The producers are
primarily agriculturally-oriented companies rather than promotion-
oriented companies. The development and implementation of coordi-
nated programs of research and promotion necessary for the
maintenance of markets and the development of new markets have
been inadequate. Without cooperative action in providing for and
financing such p n ^ a m s , individual flower and plant producers,
wholesalers, and retailers are unable to implement programs of
research, consumer and producer information, and promotion neces-
sary to maintain and improve markets for these products. It is widely
recognized that it is in the public interest to provide an adequate,
steady supply of fresh flowers and plants to the consumers of the
Nation. The American consumer requires a continuing supply of
quality and affordable flowers and plants as an important element in
the quality of life. It is, therefore, declared to be the policy of Congress
and the purpose of this title that it is essential and in the public
interest to authorize the establishment of an orderly procedure for
the development and financing, through an adequate assessment, of
an effective and coordinated program of research, consumer and
producer education, and promotion designed to strengthen the floral
industry's position in the marketplace and maintain, develop, and
expand markets for flowers, plants, and flowering plants. Nothing in
t\na title may be construed to dictate quality standards or provide for
control of production or otherwise limit the right of individual flower
and plant producers to produce commercial flowers and plants.
Nothing in this title may be construed as a trade barrier to flowers
and plants produced in foreign countries, and this title treats foreign
producers equitably.
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1349
DEFINITIONS
SEC. 1703. As used in this title— 7 use 4302.
(1) The term "Secretary" means the Secretary of Agriculture of the
United States Department of Agriculture.
(2) The term "person" means any individual, group of individuals,
partnership, corporation, association, cooperative, or any other
entity.
(3) The term "cut flowers" means all flowers and decorative foliage
used as fresh-cut flowers, fresh-cut decorative foliage, dried, pre-
served, and processed flowers, or dried and preserved decorative
foliage, produced either under cover or in field operations.
(4) ITie term "potted flowering plants" means those plants that
normally produce flowers, primanly produced in pots or similar
containers, that are primarily used for interior decoration, whether
grown under cover or in field operations.
(5) The term "foliage plants" means those plants, normally without
flowers, primarily produced in pots or similar containers, that are
primarily used for interior decorations, whether grown under cover
or in field operations.
(6) The term "propagational material" means any plant material
used in the propagation of cut flowers, potted flowering plants, and
foliage plants, including cuttings, bulbs and corms, seedlings, canes,
liners, plants, cells or tissue cultures, air layers and bublets, rhi-
zomes, and root stocks. This term does not include seeds.
(7) The term "flowers and plants" means cut flowers, potted
flowering plants, foliage plants, and propagational material.
(8) The term "United States" means the fifty States of the United
States of America, the territories and {wssessions of the United States
of America, and the District of Columbia.
(9) The term "promotion" means any action, including paid adver-
tising, to advance the image or desirability of cut flowers, potted
flowering plants, and foliage plants.
(10) The term "research" means any type of research to advance
the image, desirability, or marketability of cutflowers,potted flower-
ing plants, and foliage plants.
(11) The term "consumer education" means any action to provide
information on the care and handling of cutflowers,potted flpwering
plants, and foUage plants.
(12) The term "marketing" means the sale or other disposition in
commerce of cut flowers, potted flowering plants, and foliage plants.
(13) Unless otherwise noted, the term "producer" means any
person who produces domestically, for sale in commerce, cut flowers,
pottedfloweringplants, or foliage plants.
(14) The term "Floraboard" means the board provided for under
section 1707 of this title.
(15) The term "importer" means any person who imports cut
flowers, potted flowering plants, or foliage plantsfi*omoutside of the
United States or who acts as an agent, broker, or consignee of any
person or nation that produces flowers and plants outside of the
United States for sale in the United States.
(16) The term "commodity group" means that portion of the flower
and plant industry devoted to the production and importation of any
one of the following: (A) cutflowers;(B) potted flowering plants; or (C)
foliage plants.
(17) 'Hie term "cost of plant material" means the actual price paid
by a producer for any propagationad material or any other flowers
95 STAT. 1350 PUBLIC LAW 97-98—DEC. 22, 1981
and plants used in the production of flowers and plants. This term
does not include the cost of seeds.
FLORAL RESEARCH AND PROMOTION ORDERS
7 use 4303. SEC. 1704. To effectuate the declared policy of this title, the
Secretary shall, subject to the provisions of this title, issue and, from
time to time, may amend orders applicable to persons engaged in
production, sale, importation, or handling offlowersand plants. Such
orders shall be applicable to all production or marketing areas, or
both, in the United States.
NOTICE AND HEARING
7 use 4304. SEC. 1705. Whenever the Secretary has reason to believe that the
issuance of an order will tend to effectuate the declared policy of this
title, the Secretary shall give due notice and opportunity for hearing
upon a proposed order. Such hearing may be requested and a proposal
for an order submitted by an organization certified pursuant to
section 1716 of this title, or by any interested person affected by the
provisions of this title, including the Secretary.
FINDING AND ISSUANCE OF AN ORDER
7 use 4305. SEC. 1706. After notice and opportunity for hearing as provided in
section 1705 of this title, the Secretary shall issue an order if the
Secretary finds, and sets forth in such order, upon the evidence
introduced at such hearing, that the issuance of such order and all
the terms and conditions thereof will tend to effectuate the declared
policy of this title.
REQUIRED TERMS IN ORDERS
7 use 4306. SEC. 1707. Orders issued pursuant to this title shall contain the
following terms and conditions and, except as provided in section
1708 of this title, no others:
Fioraboard, (1) Providing for the establishment and appointment by the Secre-
establishment. ^^ry of a board to be named "Fioraboard", which shall consist of not
more than seventy-five voting members, and defining its powers and
duties, which shall include only the powers to (A) administer such
order in accordance with its terms and provisions, (B) make rules and
regulations to effectuate the terms and provisions of such order, (C)
receive, investigate, and report to the Secretary complaints of viola-
tions of such order, and (D) recommend to the Secretary amendments
of such order. The term of an appointment to the Fioraboard shall be
for three years with no member serving more than two consecutive
three-year terms: Provided^ That of the initial appointments, one-
third shall be for a term of one year and one-third shall be for a term
of two years. The Fioraboard shall appoint from its members an
executive committee, consisting of not more than fifteen members,
whose membership shall, to the maximum extent practicable, reflect
the membership composition of the Fioraboard, and whose commod-
ity group representation shall be proportional to that of the Flora-
board. Such executive committee shall have the authority to employ
a staff and conduct routine business within the policies determined
by the Fioraboard.
(2) Providing that the Fioraboard shall be composed of producers
and importers appointed by the Secretary from nominations submit-
ted by organizations certified pursuant to section 1716 of this title or
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1351
if the Secretary determines that a substantial number of producers or
importers are not members of or their interests are not represented
by any such certified organization then from nominations made by
such producers or importers in a manner authorized by the Secre-
tary. Certified organizations shall submit one nomination for each
position on the Floraboard. Initially, the Floraboard shall be com-
posed of one-third producers and importers of cut flowers, one-third
producers and importers of potted flowering plants, and one-third
producers and importers of foliage plants. Two years after assessment
of funds commences pursuant to an order, and periodically thereaf-
ter, the Floraboard shall adjust the commodity group representation
of these commodity groups on the basis of the amount of assessments,
less refunds, collected from each commodity group. There shall at all
times be more producers representing a particular commodity group
on the Floraboard than importers representing that commodity
group. In addition to commodity group representation, the periodic
adjustment of the membership of the Floraboard shall reflect, to the
maximum extent practicable, the proportionate share of assessments,
less refunds, collected from producers in each of several geographic
areas of the United States to be defined by the Secretary, and the
proportionate share of assessments, less refunds, collected from
importers of flowers and plants imported into the United States from
each country.
(3) Providing that the Floraboard shall, subject to the provisions of
paragraph 8 of this section, develop and submit to the Secretary for
approval advertising, sales promotion, consumer education, research,
and development plans or projects and that any such plem or project
must be approved by the Secretary before becoming effective.
(4) Providing that the Floraboard shall, subject to the provisions of
paragraph 8 of this section, submit to the Secretary for approval
budgets on a fiscal period basis of its anticipated expenses and
disbursements in the administration of the order, including probable
costs of advertising, promotion, consumer education, research, and
development projects.
(5) Providing that—
(A) For each sale of flowers and plants by a producer within the
United States, such producer shall pay an assessment to the
Floraboard based on the dollar value of such sales transaction
minus the cost of plant material. If the producer is a retailer, the
assessment will be based on the then current wholesale value of
the flowers and plants less the cost of plant material. In the case
of consignment sales, the assessment shall be paid by the
producer based on the dollar value of the sale of flowers and
plants less the sales commission, freight cost, and cost of plant
material.
(B) For each sale of imported flowers and plants within the
United States by the importer of such flowers and plants, such
importer shall pay an assessment to the Floraboard based on the
dollar value of such sales transaction, without deducting the cost
of plant material. If the importer is a retailer, the assessment
will be made on the purchase price. In the case of consignment
sedes, the assessment shall be paid by the importer and shall be
based on the dollar value of the sale of flowers and plants less the
sales commission and cost of transportation within the United
States.
(C) The assessments provided for in this section shall be
remitted to the Floraboard, at the time and in the manner
prescribed in the order and regulations thereunder, and shall be
89-194 O—82 87 : QL3
95 STAT. 1352 PUBLIC LAW 97-98—DEC. 22, 1981
used for such expenses and expenditures (including provision for
a reasonable reserve and those administrative costs incurred by
the Department of Agriculture after an order has been promul-
gated under this title) as the Secretary finds are reasonable and
likely to be incurred by the Floraboard under the order during
any period specified by the Secretary.
(6) Providing that the initial rate of assessment, which rate shall
remain in effi^ for the first two years after an order is approved in a
referendum, shall not exceed one-half of 1 per centum of the value of
flowers and plants sold, as determined under the provisions of
paragraph (5) of this section: Provided, That the Floraboard may
thereafter increase or decrease the rate of assessment prescribed by
the order by no more than one-quarter of 1 per centum of the value of
flowers and plants sold per yeeir: Provided further. That in no event
shall the rate of assessment exceed iy2 per centum of the value of
flowers and plants sold.
Recordkeeping. (7) Providmg that the Floraboard shall maintain such books and
records and shall prepare and submit to the Secretary, from time to
time, such reports as the Secretary may prescribe, and providing for
appropriate accounting by the Floraboard with respect to the receipt
and disbursement of aU fimds entrusted to it.
Contracts or (8) Providing that the Floraboard, with the approval of the Secre-
agreements. tary, may enter into contracts or agreements for development and
canying out of the activities author^ed under the order pursuant to
sections 1708(1) and (2) of thfe title and for the pa5nnent of the cost
thereof with funds collected pursuant to the order. The Floraboard
may contract with industry groups, profit or nonprofit companies,
private and State collies and universities, and governmental
groups. Any such contract or agreement SIIEQI provide (A) that the
contracting party shall develop and submit to the Floraboard a plan
or project together with a budget or budgets which shall show
estimated costs to be incurred for such plan or project, (B) that any
such plan or project shall become effective upon the approval of the
Secretary, and (C) that the contracting party shall keep accurate
records of all its transactions and make periodic reports to the
Floraboard of activities carried out and an accounting for funds
received and expended, and such other reports as the Secretary may
require.
(9) Providing that the Floraboard may convene, from time to time,
advisory panels drawn from the production, importation, wholesale,
and retail segments of the flower and plant industry to assist in the
development of marketing and research programs.
(10) Providing that no funds collected or received by the Floraboard
shall in any manner be used for the purpose of influencing govern-
mental policy or action, except as provided by paragraph (IXD) of this
section.
Reimbursement. (11) Providing that Floraboard members and members of any
advisory panels convened shall serve without compensation but shall
be reimbursed for their reasonable expenses incurred in performing
their duties as members of the Floraboard or advisory panel.
PERMISSIVE TERMS IN ORDERS
7 use 4307. SEC, 1708. Orders issued pursuant to this title may contain one or
more of the following terms and conditions:
(1) Providing for the esteblishment, issuance, effectuation, and
administration of appropriate plans or projects for advertising, sales
promotion, urban beautification, and consumer education with
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1353
respect to the use of flowers and plants, and for the disbursement of
necessary funds for such purposes: Provided, That any such plan or
project shall be directed toward increasing the general demand for
flowers and plants and shall make no reference to a private brand or
trade name: Provided further, That no such advertising, consumer
education, urban beautification, or sales promotion program shall
make use of unfair or deceptive acts or practices with respect to the
quality, value, or use of any competing product.
(2) Providing for establishing and carrying on research, marketing,
and development projects, and studies with respect to the sale,
distribution, marketing, or utilization of flowers and plants, to the
end that the marketing and utilization of flowers and plants may be
encouraged, expanded, improved, or made more acceptable, for the
dissemination of the data collected by such activities and for the
disbursement of necessary fimds for such purposes.
(3) Providing that producers, wholesalers, retailers, and importers information
of flowers and plants maintain and make available for inspection disclosure.
such books and records as are specified in the order and that such
persons flle reports at the time, in the manner, and having the
content prescribed by the order, to the end that information and data
shall be made available to the Floraboard and to the Secretary which
is appropriate or necess£iry to the effectuation, administration, or
enforcement of this title, or any order or regulation issued pursuant
to this title: Provided, That all information so obtained shall be kept
confidential by employees of the Department of Agriculture and the
Floraboard, and only such information as the Secretary deems
relevant shall be disclosed by them, and then only in a suit or
administrative hearing brought at the direction, or upon the request,
of the Secret£iry, or in a suit or administrative hearing to which the
Secretary or any officer of the United States is a party, and involving
the order with reference to which the information to be disclosed was
furnished or acquired. Nothing in this section shall be deemed to
prohibit (A) the issuance of general statements based upon the
reports of the number of persons subject to an order, or statistical
data collected therefrom, which statements do not identify the
information furnished by any person, (B) the publication by the
Floraboard of general statements relating to refunds made by the
Floraboard during any specific period, including regional informa-
tion on refunds, (C) the publication by the Floraboard of information
on the amount of assessments collected from each commodity group
and the rate of refund in each commodity group, or (D) the publica-
tion by direction of the Secretary of the name of any person violating
any order, together with a statement of the particular provisions of
the order violated by such persons. No information obtained pursu-
ant to the authority of this title may be made available to any agency
or officer of the Federal Grovernment for any purpose other than the
implementation of this title and any investigatory or enforcement
actions necessary for the implementation of this title. Any person
violating the provisions of this paragraph shall, upon conviction, be
subject to a fine of not more than $1,000 or to imprisonment for not
more than one year, or to both, and, if an officer or employee of the
Floraboard or the Department of Agriculture, shall be removed from
office.
(4) Terms and conditions incidental to and not inconsistent with the
terms and conditions specified in this title and necessary to effectuate
the other provisions of such order.
95 STAT. 1354 PUBLIC LAW 97-98—DEC. 22, 1981
REQUIREMENT OF REFERENDUM
7 use 4308. SEC. 1709. (a) The Secretary shall conduct a referendum among
domestic producers and importers not exempt under section 1712 of
this title who, during a representative period determined by the
Secretary, have been engaged in the production or importation of
flowers and plants, for the purpose of ascertaining whether the
issuance of an order is approved or favored by such domestic produc-
ers and importers. No order issued pursuant to this title shall be
effective unless the Secretary determines that the issuance of such
order is approved or favored by not less than two-thirds of the
producers and importers voting in such referendum, or by a majority
of the producers and importers voting in such referendum if such
majority produced and imported not less than two-thirds of the total
value of the flowers and plants produced and imported by those
producers and importers voting in such referendum during a repre-
sentative period defined by the Secretary.
Reimbursement. (b) The Secretary shsQl be reimbursed from assessments for all costs
incurred by the Government in connection with the conduct of the
referendum, except for the salaries of Government employees.
SUSPENSION AND TERMINATION OF ORDERS
7 use 4309. SEC. 1710. (a) Whenever the Secretary finds that any order issued
under this title, or any provisions thereof, obstructs or does not tend
to effectuate the declared policy of this title, the Secretary shall
terminate or suspend the operation of such order or such provisions
thereof.
(b) The Secretary may conduct a referendum at any time, and shall
hold a referendum on request of 10 i)er centum or more of the number
of producers and importers voting in the referendum approving the
order, to determine whether such producers and importers favor the
termination or suspension of the order, and shall suspend or termi-
nate such order six months after the Secretary determines that
suspension or termination of the order is approved or favored by a
majority of the producers and imiwrters voting in such referendum
who, during a representative period determined by the Secretary,
have been engaged in the production or importation of flowers and
plants.
(c) The termination or suspension of any order, or any provision
thereof, shall not be considered an order within the meaning of this
title.
PROVISIONS APPUCABLE TO AMENDMENTS
7 use 4310. SEC. 1711. The provisions of this title applicable to orders shall be
applicable to amendments to orders.
EXEMPTIONS
7 use 4311. SEC. 1712. Any producer or importer whose total sales of flowers
and plants do not exceed $100,000 during a twelve consecutive month
period prior to the date an assessment is due and payable shall be
exempt from assessments under this title under such conditions and
procedures as may be prescribed in the order or rules and regulations
issued thereunder and shall not vote in any referendum under this
title: Provided, That the Floraboard shall have the discretion to make
annual adjustments in the level of exemption to account for inflation.
For the purpose of this section, a producer's or importer's total sales
shall include, in those cases in which the producer or importer is an
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1355
individual, sales attributable to such person's spouse, children,
grandchildren, and parents; in those cases in which the producer or
importer is a partnership or a member of a partnership, sales
attributable to the other partners; and, in those cases in which the
producer or importer is a corporation, sales attributable to any
corporate subsidiaries of which such corporation owns 50 per centum
or more of the stock, or if such subsidiaries are not corporations,
subsidiaries which are controlled by such corporation. In addition, in
determining a producer's or importer's total sales, the sales of any
corporation in which such producer or importer owns 50 per centum
or more of the stock shall be attributed to such producer or importer.
For these purposes stock in the same corporation which is owned by
such producer's or importer's spouse, children, grandchildren, par-
ents, partners, and any corporation 50 per centum or more of whose
stdck is owned by the producer or importer shall be treated as owned
by the producer or importer.
PRODUCER OR IMPORTER REFUND
SEC. 1713. Notwithstanding any other provisions of this title, any 7 use 4312.
producer or importer who pays an assessment shall have the right to
demand and receive from the Floraboard a refund of such assess-
ment: Provided, That such demand shall be made by such producer or
importer in accordance with regulations and on a form and within a
time period prescribed by the Floraboard and approved by the
Secretary, but in no event more than sixty days after the end of the
month in which the assessment was paid. Such refund shall be made
not later than sixty days after submission of proof satisfactory to the
Floraboard that the producer or importer paid the assessment for
which refund is sought.
PETITION AND REVIEW
SEC. 1714. (a) Any person subject to any order may file a written 7 USC 4313.
petition with the Secretary, stating that any such order or any
provisions of such order or any obligations imposed in connection
therewith is not in accordance with law and praying for a modifica-
tion thereof or to be exempted therefrom. Such person shall there-
upon be given an opportunity for a hearing upon such petition, in
accordance with regulations prescribed by the Secretary. After such
hearing, the Secretary shall make a ruling upon the prayer of such
petition which shall be final if in accordance with law.
Ot>) The district courts of the United States in any district in which
such person is an inhabitant, or carries on business, are hereby vested
with jurisdiction to review such ruling, provided a complaint for that
purpose is filed within twenty days from the date of the entry of such
ruling. Service of process in such proceedings may be had upon the
Secretary by delivering to the Secretary a copy of the complaint. If
the court determines that such ruling is not in accordance with law, it
shall remand such proceedings to the Secretary with directions either
(1) to make such ruling as the court shall determine to be in
accordance with law, or (2) to take such further proceedings as, in its
opinion, the law requires. The pendency of proceedings instituted
pursuant to subsection (a) of this section shall not impede, hinder, or
delay the United States or the Secretary from obtaining relief
pursuant to section 1715(a) of this title.
95 STAT. 1356 PUBLIC LAW 97-98—DEC. 22, 1981
ENFORCEMENT
7 use 4314. SEC. 1715. (a) The several district courts of the United States are
vested with jurisdiction specifically to enforce, and to prevent and
restrain any person from violating, any order or regulation made or
issued pursuant to this title. Any civil action authorized to be brought
under this subsection shall be referred to the Attorney General for
appropriate action: Provided, That nothing in this title shall be
construed as requiring the Secretary to refer to the Attorney General
violations of this title whenever the Secretary believes that the
administration and enforcement of the program would be adequately
served by administrative action pursuant to subsection (b) of this
section or suitable written notice or warning to any person commit-
ting such violations.
(bXl) Any person who violates any provisions of any order or
regulation issued by the Secretary pursuant to this title, or who fails
or refuses to pay, collect, or remit any assessment or fee duly required
thereunder, may be assessed a civil penalty by the Secretary of not
less than $500 or more than $5,000 for each such violation. Each
violation shall be a separate offense. In addition to or in lieu of such
civil penalty the Secretary may issue an order requiring such person
to cease and desist from continuing such violation or violations. No
penalty may be assessed or cease and desist order issued unless such
person is given notice and opportunity for a hearing before the
Secretary with respect to such violation. The order of the Secretary
assessing a penalty or imposing a cease and desist order shall be final
and conclusive unless the affected person files an appeal from the
Secretary's order with the appropriate United States court of
appeals.
(2) Any person against whom a violation is found and a civil penalty
assessed or cease and desist order issued under paragraph (1) of this
subsection may obtain review in the court of appeals of the United
States for the circuit in which such person resides or carries on
business or in the United States Court of Appeals for the District of
Columbia Circuit by filing a notice of appeal in such court within
thirty days from the date of such order £uid by simultaneously
sending a copy of such notice by certified msdl to the Secretary. The
Secretary shall promptly file in such court a certified copy of the
record upon which such violation was found. The findings of the
Secretary shall be set aside only if found to be unsupported by
substantial evidence.
(3) Any person who fails to obey a cease and desist order after it has
become final and unappealable, or after the appropriate court of
appeals Ytaa entered final judgment in favor of the Secretory, shall be
subject to a civil penalty assessed by the Secretory, after opportunity
for a hearing and for judicial review pursuant to the procedures
specified in paragraphs (1) and (2) of this subsection, of not more than
$500 for each offense, and each day during which such failure
continues shall be deemed a separate offense.
(4) If any person fails to pay an assessment of a civil penalty after it
has become a final and unappealable order, or after the appropriate
court of appeals has entered final judgment in favor of the Secretory,
the Secretary shall refer the matter to the Attorney General who
shall recover the amount assessed in any appropriate district court of
the United Stetes. In such action, the validity and appropriateness of
the final order imposing the civil penalty shall not be subject to
review.
PUBLIC LAW 97-98—DEC. 22, 1981 95 STAT. 1357
CERTIFICATION OF ORGANIZATIONS
SEC. 1716. The eligibility of any organization to represent producers ? use 4315.
of flowers and plants of any producing area of the United States or
importers of flowers and plants, for purposes of requesting the
issuance of an order under section 1705, or making nominations
under section 1707(2) of this title, shall be certified by the Secretary.
Certification shsdl be based, in addition to other available informa-
tion, upon a factual report submitted by the organization which shall
contain information deemed relevant and specified by the Secretary
for the making of such determination, including, but not limited to,
the following:
(1) geographic territory covered by the organization's active
meml^rship;
(2) nature and size of the organization's active membership, the
proportion of such active membership accounted for by produc-
ers and importers, and information as to the volume of produc-
tion by State or the volume of importation by country accounted
for by the organization's producer and importer members;
(3) the extent to which the producer and importer membership
of such organization is represented in setting the organization s
policies;
(4) evidence of stability and permanencv of the organization;
(5) sources from which the organization s operating funds are
derived;
(6) functions of the organization;
(7) whether the majority of the governing board of the organi-
zation is composed of producers and importers; and
(8) the organization's ability and willingness to further the
aims and objectives of this title.
The primary consideration in determining the eligibility of any
organization shall be whether its membership consiste of a substan-
tial number of producers and importers who produce and import a
substantial volume of flowers and plants. The Secretary shall certify
any organization which is found to be eligible under this section, and
the Secretary's determination as to eligibility shall be final. When-
ever more than one organization is certified in any geographic area,
such organizations may caucus to determine the area's nominations
under section 1707(2) of this title.
REGULATIONS
SEC. 1717. The Secretary may issue such regulations as may be 7 use 4316.
necessary to carry out the provisions of this title.
INVESTIGATIONS; POWER TO SUBPENA A N D TAKE OATHS AND
AFFIRMATIONS; AID OF COURTS
SEC. 1718. The Secretary may make such investigations as are '^ use 4317.
deemed necessary to carry out the Secretary's responsibilities under
this title or to determine whether a producer, importer, wholesaler,
retailer, or other seller of flowers and plants, or any other person has
engaged or is about to engage in any acts or practices which
constitute or will constitute a violation of any provisions of this title,
or of any order, or rule or regulation issued under this title. For the
purpose of such investigation, the Secretary is empowered to adminis-
ter oaths and affirmations, subpena witnesses, compel their attend-
ance, take evidence, and require the production of any books, papers,
95 STAT. 1358 PUBLIC LAW 97-98—DEC. 22, 1981
and documents which are relevant to the inquiry. Such attendance of
witnesses and the production of any such records may be required
from any place in the United States. In case of contumacy by, or
refusal to obey a subpena to, any person, including a producer of
flowers and plants, the Secretary maj^ invoke the aid of any court of
the United States within the junsdicnon of which such investigation
or i>roceeding is carried on, or where such person rraides or carries on
business, in requiring the attendance and testimony of witnesses and
the production of books, papers, and documents: and such court may
issue an order requiring such person to appear before the Secretary,
there to produce records, if so ordered, or to give testimony touching
the matter under investigation. Any failure to obey such order of the
court may^ be punished oy such court as a contempt thereof. ML
processes in any such cases may be served in the judicial district
wherein such person is an inhabitant or wherever such person may
be found.
SEPABABIUTY
7 u s e 4318. SEC. 1719. If any provision of this title or the application thereof to
any ^rson or circmnstances is held invalid, the validity of the
remamder of this title and of the application of such provision to
other persons and circumstances shall not be affected thereby.
AUTHOBIZATION
7 u s e 4319. SEC. 1720. There are authorized to be appropriated out of any
money in the Treasury not otherwise appropriated such funds as are
necessary to cany out the i)rovisioiis of this title. The funds so
appropriated shall not be available for payment of the expenses or
expenditures of the Floraboard in administering any provisions of
any order issued pursuant to the terms of this title.
TITLE XVm—EFFECTIVE DATE
7 u s e 4301 note. SEC. 1801. Except as otherwise provided herein, the provisions of
this Act shall become effective on enactment
Approved December 22, 1981.
LEGISLATIVE HISTORY—S. 884 (H.R. 3603):
HOUSE REPORTS: No. 97-106 (Coram, on Agriculture), No. 97-106, Part 2 (Corara.
on Appropriations), No. 97-106, Part 3 (Coram, on Ways and
Means) accompanying H.R. 3603, and No. 97-377 (Coram, of
Conference).
SENATE REPORTS: No. 97-126 (Coram, on Agriculture, Nutrition, and Forestry) and
No. 97-290 (Corara. of Conference).
CONGRESSIONAL RECORD, Vol. 127 (1981):
Sept. 14-18, considered and passed Senate.
Oct. 2, 7, 14, 15, 20^22, H.R. 3603 considered and passed House; proceedings
vacated and S. 884, araended, passed in lieu.
Dec. 10, Senate agreed to conference report.
Dec. 16, House agreed to conference report.
WEEKLY COMPILATION OF PRESIDENTIAL DOCUMENTS, Vol. 17, No. 52 (1981):
Dec. 22, Presidential stateraent.
